This July, SoundCloud laid off 40% of its employees and shut down two offices which led to reports that the popular streaming service would not last until the end of the summer. Although SoundCloud refuted these claims, it seems that other services such as Spotify and Apple Music have overwhelmed the transitioning platform.
Last Friday, reports surfaced of a $170 million investment and installment of a new CEO for SoundCloud. Recently valued at just $150 million, The Raine Group and Temasek have teamed up to revive the company. Former Vimeo CEO Kerr Trainor bumped out Alexander Ljung, who is now SoundCloud’s Chairman of the Board. Eric Wahlforss remains as Chief Product Officer.
The company released a statement, “the investment will ensure a strong, independent future for SoundCloud, funding deeper development and marketing of its core tools used by millions of audio creators — musicians, DJs, producers, labels, managers and podcasters — that fuel SoundCloud’s one-of-a-kind, creator-driven listener experience.”
Without SoundCloud, we would not have the groundbreaking label-free success of Chance The Rapper as well as Vic Mensa, Ugly God, Lil Uzi Vert and Lil Yachty.
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