Spotify announced to acquire SoundBetter, a music production marketplace for artists, producers, and musicians to connect on specific projects.
This collaboration with SoudBetter will help Spotify combine more than 400,000 artists and their teams. According to Spotify, the SoundBetter acquisition will give artists a new avenue to connect with collaborators or generate additional income.
Global scale, resources, and vision to expand our network and drive more economic opportunities for artists of all levels. – SoundBetter co-founder and CEO Shachar Gilad.
Spotify had earlier tried to launch a direct music distribution platform including with an investment in DistroKid which is a music distribution service that supports cross-platform uploads but eventually, it shut-down past July.
Indeed, for Spotify, the SoundBetter acquisition deal is a signal that the company is going to continue investing in more behind-the-scenes services for artists and others in the music ecosystem. SoundBetter’s investors included 500 Startups.
Founded in 2012, SoundBetter currently, has about 180,000 registered users and has paid out more than $19 million to musicians and producers to date, averaging around $1 million per month. The company lets musicians tap into its database of singers, producers, songwriters, session musicians, and mixing and mastering engineers.
However, the company has not disclosed how much funding it has raised.
Subscribe to our newsletter and never miss an update on the latest tech, gaming, startup, how to guide, deals and more.