Music Business

Spotify Could Use It’s New Acquisition To Take On Soundcloud

Spotify newLast year rumors swirled that Spotify was in talks to buy SoundCloud. Spotify's interest eventually waned, apparently because it did not want strain it's pre-IPO balance sheet. But a new Spotify acquisition could make it possible – even easy – for them to become a SoundCloud-like home for the millions of indie mixes and other d.i.y. content.



Yesterday, we reported that Spotify had acquired Sonalytic, a UK startup that creates technology that can identify songs, mixed content and stems while enabling monetization for rightsholders.

I suggested that in addition to its public intent to use Sonalytic's audio detection to improve its personalized playlists and to match songs with compositions to improve their publishing data system, Spotify could use it to build its own Shazam.

But music technologist Hendrik Schreiber shared a more intrguing possibilty with Stuart Drudge of Music Ally. Instead of buying SoundCloud, as had been rumored last year, Spotify could use Sonalytic's tech to build and launch its own SoundCloud-like service and open its platform to millions of user generated tracks. 


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  1. Doesn’t that open the door to becoming an infringing site like YouTube and creating even more financial problems for artists? Which begs the question of how quickly can congress make long overdue changes to the DMCA.

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