Twitter may be interested in acquiring Soundcloud
The internet was abuzz today with the latest rumored acquisition in the social media space, this time at the hands of 140 character megalith Twitter. Numerous reputable tech websites reported that the company may be considering a possible acquisition of the “YouTube of Audio,” Soundcloud. Recently given a $700 million valuation after a successful round of investment, Soundcloud may be Twitter’s answer to its declining growth and a last ditch effort to save face after Twitter Music crashed and burned in 2013. According to a study, Twitter users share Soundcloud links nearly 3x more than any other music service, including Spotify. How Soundcloud may benefit from the acquisition is still unclear, although the key may lie in Twitter’s ability to acquire licensing deals with all of the major labels, something that the Berlin-based company has yet to accomplish — a shortcoming that has garnered it significant criticism from industry professionals and artists alike.
As of writing details are still speculative and neither company was willing to comment. Lyor Cohen however told Billboard that if Twitter were to acquire Soundcloud it “would be a wonderful day.”