There are several music streaming platforms and internet radio services available at the moment, so much so that competition is fierce and pricing is competitive, meaning that in today’s market, not all can survive. That being said, a report from Variety has revealed that Pandora will be acquiring Rdio’s assets for $75 million.
This deal has apparently been in the works for months and no doubt the acquisition of Rdio’s assets will bolster Pandora’s position in the music streaming market. According to Pandora’s CEO Brian McAndrews, “Whether streaming through radio, on-demand or in-person at live events, Pandora is building the definitive source for fans to discover and celebrate music. Wherever and however fans want to hear music, we intend to be their go-to destination.”
Some of Rdio’s employees are also expected to be offered jobs within Pandora, but we should note that Rdio’s operating business will not be acquired by Pandora, but rather the company’s assets, like the talent and technology behind it. In a press release put out by Pandora, they also revealed that Rdio will be filing for bankruptcy and will be winding down its operations in all markets upon approval of the proposed transaction by the bankruptcy court.
According to Anthony Bay, Rdio’s CEO, “The Rdio team built an acclaimed product and technology platform that has consistently led innovation in the young streaming industry. I’m pleased that many members of the Rdio team will continue to shape the future of streaming music, applying our tradition of great design and innovative engineering on an even larger stage with Pandora.” So, who amongst our readers will be missing Rdio?