Curation Is King: Google Acquires Songza For $39M
(UPDATED) Google has acquired mood and activity based streaming music service Songza. Original reports put the price tag at $15 million, but several rumored suitors likely pushed the deal to what the New York Times is now reporting as $39 million.
Why Songza?
Curation – humans and/or algorithms choosing the right music for each user – is seen as key to mainstream adoption of streaming music. Pandora built its service on curation; and Beats Music has made it the cornerstone of its service. Recently, Spotify bought The Echo Nest to focus its effort; and this week Rdio acquired TastermakerX.
Today's Songza acquisition jump starts the efforts at Google's fledgling streaming music services. The internet giant says it won't make immediate changes to Songza. But overtime, they will undoubtedly incorporate the startup's technology into Google Play Music and the soon to launch YouTube music streaming service.
Songza, currently based in Long Island City, will move into Google’s NYC offices. No details of how may employees would be making the move were shared.
Songza has raised a total of $6.7 million since launching in 2007. Amazon, who has music ambitions of their own, was one of Songza's early investors along with Deep Fork Capital and others. More recently Gary Vaynerchuk, Scooter Braun, Troy Carter and William Morris Endeavor became investors.
