“As Spotify continues to inch towards a public listing, Apple is making a move of its own to step up its game in music services,” Katie Roof reports for TechCrunch. “Sources tell us that the company is close to acquiring Shazam, the popular app that lets people identify any song, TV show, film or advert in seconds, by listening to an audio clip or (in the case of, say, an ad) a visual fragment, and then takes you to content relevant to that search.”
“We have heard that the deal is being signed this week, and will be announced on Monday, although that could always change,” Roof reports. “One source describes the deal as in the nine figures; another puts it at around £300 million ($401 million).”
“Shazam last noted that it passed 1 billion downloads, but that was back in September 2016, meaning those numbers are likely higher now,” Roof reports. “But in the world of apps, high numbers do not always translate into profits: In September 2017, Shazam reported made £40.3 million ($54 million) in revenues in its 2016 fiscal year, which was a turnaround from the declines between FY 2014 and 2015. It made a statutory pre-tax loss of £4 million ($5.3 million) in 2016, which was still a loss but significantly smaller than the £16.6 million loss in FY 2015.”
Read more in the full article here.
MacDailyNews Take: Certainly Shazam would be a very useful addition to the Apple Music family of products and services. Of course, you can currently ask Siri, “What’s this song?’ and you’ll get results from Shazam which you can buy from iTunes Store or listen to via Apple Music if you’re a member. We expect Apple might be interested in aspects of Shazam’s “Discover” music recommendation feature.
[Thanks to MacDailyNews Reader “Dan K.” for the heads up.]
400 million?……
And get what?… what discovery features is mdn refering to that is worth 400 million in added value for Apple.
If people are getting used to Siri (and similar) being “always on”, then a Shazam-like service that’s “always on” would be accepted by users.
If Apple Music could give you a playlist tailored to what you actually listen to, and could let you browse a list of catchy songs you’ve heard that day, Apple can turn that into cash. (My only real problem with Apple music is finding music.)
Perhaps more importantly, it could be a powerful way to learn what Apple customers are *watching*.
Intetesting point “watching “!!!
Thanx
“My only real problem with Apple music is finding music”
Then you probably aren’t using Apple Music as it was intended. If you are giving ♥s to the music you ♥, then you should be getting great playlists, along with being introduced to plenty of new music similar to what you ♥.
I wish it was a much more hands off approach, but currently it requires user input. If you put in the effort, you will get the results.
I think this is a good use of their money. I am pleased at this news. Also, one less app to have installed and the features rolled into iOS.
Shazam!!! 400 MILLION DOWN DRAIN…..
– What’s that insane iliterate rap?
– Public Enemy #1
Shazam is an awesome buy, depending on the sales price. Its intelligence ties well into the AI / deep learning for Apple’s music space for customer music preferences. I think its keenness at song identification is nothing short of diabolical, don’t you?
dan
Sometims soundhound can identify things shazam cant. ….
Why is it that any company Apple acquires is considered to be a waste of money? Amazon buys company after company and Wall Street praises the company endlessly. Both Amazon and Microsoft are spending tens of billions of dollars on companies and both companies’ value seems to constantly rise. Apple spends a measly $400 million and the whining begins. It’s not as though Apple is extending itself. Should Apple just keep sitting on their cash and go nowhere? Outsiders should have no reason to gripe about Apple’s acquisitions if they don’t know what’s going on internally with Apple.
$400M is pocket change for Apple compared to Microsoft’s $26B Linked-In purchase or Amazon’s $14B Whole Foods purchase. Both those acquisitions hurt neither company and seemingly boosted their value for reasons I can’t quite determine.
It is a waste when one buy’s something that can be done in house at a fraction of the cost, there is nothing special about Shazam.
Too bad Apple can’t buy credibility and respect.
Fuck off you fucking muslim
What’s the problem? Momma hasn’t fed you yet? Are you hangry, little one?
Wrong.
Wrong.
Let the fanboy vent her frustration. I am not offended. I think it’s hilarious how fanboys make public fools of themselves.
For $400 million I’d answer texts as to what song it was. Sure I’d get it wrong.. then I’d check with SoundHound and get it right and keep the money.