Report: Spotify eying fall IPO


Quartz reports Spotify has held informal talks with banks about an IPO, and could start holding formal meetings next month "in anticipation of an offering in autumn."

Bloomberg reported three weeks ago Spotify is working with Goldman on landing a credit facility, the type of move that's often a precursor to an IPO. Last year, the streaming music service raised funding at a reported $4B+ valuation.

More recently, Apple has been reported to be holding "exploratory talks" with music labels about offering a rival service. Much like Pandora in the Web radio space, Spotify has been able to hold a number of rival subscription services at bay.

Comments (2)
  • Breezy Breeze
    , contributor
    Comments (55) | Send Message
     
    *rubs hands* muahahaa
    27 Mar 2014, 02:54 PM Reply Like
  • Tales From The Future
    , contributor
    Comments (7619) | Send Message
     
    Both P and Spotify are bleeding money or are at break-even at best (see recent quarters for P). I wonder how this business model will ever be profitable.

     

    Big competitors like MSFT, GOOG, AMZN and AAPL can cross-subsidize their streaming offerings for a long time and squeeze out these pure plays.
    28 Mar 2014, 01:29 AM Reply Like
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