Printed from http://www.electronista.com

Spotify to raise $100 million at $3 billion valuation

updated 05:48 pm EST, Sun November 11, 2012

Music streaming service to seek fresh funding

Music streaming service Spotify is looking to raise $100 million in a financing round that would see the company valued at around $3 billion. Spotify hopes to raise the new funds from a number of investors, with Goldman Sachs among them. The report, if true, would represent a 25 percent drop in the valuation target for the company, as it was earlier rumored to be seeking $200 million at a $4 billion valuation.

Reuters reports that Spotify has already raised about $189 million in funding from Kleiner Perkins Caufield & Byers, Accel Partners, and others in previous financing rounds.

Since its launch, Spotify has grown to a prominent position in the music industry, and it now stands as the number two source of revenue for the major record labels, behind Apple's iTunes. The service has struck deals with Internet companies like Yahoo, as well as music marketing deals with AT&T, Reebok, and Intel.

Amid these deals, Spotify has been looking to expand, with the company eying opening up services in Canada, Asia, and South America. It is also said to be looking to bring out a browser-based version of its service, allowing users to access it without downloading an app.

Spotify currently has over 15 million active users, of which more than four million are paying subscribers to its service.



By Electronista Staff
Post tools:

TAGS :

toggle

Comments

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

Follow us on Facebook

toggle

Most Popular

Advertisement

Recent Reviews

Samsung Galaxy S6 Edge

The Samsung Galaxy S6 range is a critical component in Samsung's flagging smartphone strategy. With sales of its high-end smartphones ...

Notti smart lamp from Witti

Perhaps you've already seen our review of the Dotti LED display from Witti Design. Meet Notti, Dotti's "sibling". Notti is a softball ...

Seagate Personal Cloud (2-Bay)

When it comes to backing up files, many users are now looking to the myriad of cloud storage solutions available. There is no doubt th ...

Advertisement

toggle

Most Commented

 
toggle

Popular News