A 100 million tracks along with its reputation of being the home in the cloud for up and coming djs, music artists, etc is what made Soundcloud to become so popular among music fans and music creators alike.
But this is not enough. Soundcloud has been striving to keep afloat in recent months and along with the lack of a decent revenue and a business plan, the company has been lately seeking a financing of $170 million to stay alive.
The money has been found and the investors are The Raine Group bank and the Singapore-based investment company Temasek. This injection of funds comes as another push to keep the company alive, for now.
As part of the deal both Soundcloud’s current CEO and COO will step down and will be replaced by Vimeo’s former CEO Kerry Trainor and Michael Weissman, also an ex-Vimeo employee.
Just to give you an idea how bad things have gotten for Soundcloud, you can look at the company’s valuation prior this latest funding; this was a low $150 million, which is far from the $700 mark given for the company during earlier assessments for funding.
If things turn sour for the music service this would mean that 100 million tracks could simply vanish and both artists and fans, alike, would lose a great service that breeds music of all types.
Let’s hope the company will manage to turn things to its own benefit this time around.