Soundcloud is one of the renowned music-streaming application available on platforms of Android, iOS, and many others. The application is easy to use and allows its users to access musicians and singers all across the globe, no matter what the genre is. Soundcloud had glitches and users were particularly frustrated with the fact that original songs were difficult or let’s say “impossible” to find because of the availability of thousands of covers sung by aspiring and upcoming singers. The application malfunctioned sometimes, like the saved tracks would often vanish from the abyss of storage or the user profile would be logged out automatically. The financial reports of the company were not very positive as just 10 days back, Soundcloud had decided to cut 40% of its staff. The problems don’t end here for the company, Soundcloud had to close its offices in London and San Francisco. It was also discovered through inside sources that the company is in bad financial shape, and has monetary resources that can only suffice the needs of the 4th quarter.
Recently, a hearsay spread that Soundcloud is finally wrapping up its music store and leaving the industry which is dominated by Spotify, Shazam, Pandora, and even Youtube which introduced the option of saving videos. The rumor proved to be wrong when rapper Chance launched his new album on Soundcloud and the organization’s spokesperson cleared the fog of confusion by stating that the closure news was just “noise” and the company is not planning to close its operations in the foreseeable future. Co-founder and CEO Alex Ljung stated,
Co-founder and CEO Alex Ljung stated,
“Soundcloud is here to stay.”
There is news that Chance the rapper has invested and bolstered the company’s financial model for now as the inception of his career in the industry was through this application. The question that everyone is raising is regarding the strategy of Soundcloud in the future, the question is how will the company survive and grow.
Soundcloud is an important platform for aspiring DJs, singers, musicians, and podcasters to showcase their talent without being exploited at the hands of music industry’s talent organizations or greedy managers. The music on this application is beyond the limitations of time, space, race, geographical distances, in short music on Soundcloud is diversified beyond our imagination because the application is free and used all over the world so every individual has the liberty to express through any means of audibility.
The complete letter of Alexander ljung is as follows,
There’s an insane amount of noise about SoundCloud in the world right now. And it’s just that, noise. The music you love on SoundCloud isn’t going away, the music you shared or uploaded isn’t going away,because SoundCloud is not going away. Not in 50 days, not in 80 days or anytime in the foreseeable future. Your music is safe.
Along with each of you, we’ve built this incredible creative community of artists, podcasters, DJs, producers and more who are the driving force in pushing culture forward in the world. That’s not going to change. Last week we had to make some tough decisions to let go of some of our staff, but we did this to ensure SoundCloud remains a strong, independent company.
Thank you for the outpouring of love and support. Some of you have asked how you can help — spread the word that we’re not going anywhere and keep doing what you’re doing — creating, listening, uploading, sharing, liking, and discovering what’s new, now and next in music. SoundCloud is here to stay.
Soundcloud can easily raise its capital by selling itself to interested investors in the tech world. In recent years, there have been serious talks with Twitter and Spotify for mergers, but the deals ended because of the reputation of Soundcloud and Spotify’s decision to go public which hampered any chances of acquisition between the two entities.