updated 02:38 pm EST, Thu December 13, 2012
Peer-to-peer music acquisition sparks speculation
Popular cloud-storage provider Dropbox moved to further differentiate itself from competitors today, acquiring Seattle-based music streaming service Audiogalaxy. While Dropbox has not yet commented on the acquisition, Audiogalaxy, in announcing the deal, said its team was excited to bring "great new experiences" to Dropbox's more than 100 million users. The peer-to-peer streaming service is no longer accepting new users, but its current users can continue to use the personal streaming features of the service.
A post on Audiogalaxy's company blog confirmed the acquisition, saying that subscribers would be able to continue to access mixes until December 31 of this year. The post gives little else in the way of information on what users might expect from the service.
Audiogalaxy's history dates back to the early years of music file sharing. The service began as a peer-to-peer client software solution, a sort of competitor to Napster. Since dropping out of that sphere in 2002, Audiogalaxy has gone through a number of iterations, finally becoming an online cloud music player to which users could upload DRM-free tracks for replay anywhere.
The financial terms of the deal are as yet unknown.
A move into cloud-based music streaming would bring Dropbox into stiffer competition with Apple's iCloud, Google Drive, and Google Music. Dropbox, a leader among independent cloud storage providers, has been improving the capabilities of its service as other tech giants move into the cloud arena. Dropbox users are currently able to use the service as an automatic photo backup option, and the company is said to be working on improving its ability to stream video to mobile and desktop devices.