The news was first reported by the Wall Street Journal this morning. It is a clear pointer that Google going to get into competition like Apple Music. Apple Music, right now, has more uique users than any of their competitors. But Spotify is now reaching its 50 millionth paying subscriber.
“We’re thrilled to bring Spotify into our family of music properties,” Google Music executive vice president Nathan Rutherford said.
“Now, we can combine the best of three worlds: Google Music, YouTube Music, and Spotify.”
Investors Goldman Sachs, Kleiner Perkins Caufield & Byers, Northzone Ventures, and billionaires Sean Parker and Li Ka-shing will receive several billion dollars each. As part of the payout, all artists will also receive a special streaming payout of 1-penny per-stream, for a limited 24 hours period.
Spotify CEO Daniel Ek is now one of tech’s most important entrepreneurs and visionaries.
“I’m thrilled by this acquisition and the belief that Google has placed in us,” Ek said in a statement. “While we’ve operated as healthy competitors to this point, I think we always considered joining together. We want to help build the future of music consumption and a place for artists to grow.”
“Napster offered a glimpse into the future of music technology,” Parker said. “Now, eighteen years later, Google is helping us fulfill that vision in the best, most powerful way possible.”
Inside Beyonce's star-studded baby shower