Streaming music machinations: Pandora buys Rdio for $75 million

Discussion in 'Stock Market Forum' started by baudwalk, Nov 16, 2015.

  1. baudwalk

    baudwalk Senior Investor

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    In breaking news today, Variety reports Pandora $P -- http://www.marketwatch.com/investing/stock/p -- is buying the assets of OTC-traded Rdio -- http://www.thestreet.com/quote/RDIO.html -- for $75 million ( http://variety.com/2015/digital/news/pandora-rdio-acquisition-1201641583/ ). It's a bit of a surprise to me, as I thought $P itself was having difficulties competing with Spotify and the various incarnations of Apple music offerings. And YouTube just announced its music app -- http://www.theverge.com/2015/11/12/9723496/youtube-music-app-offline-background -- to mixed reviews -- http://gizmodo.com/youtube-music-is-breathtakingly-pointless-1742244361 -- by some reviewers.

    I assume money is being made by some streaming service somewhere but sorting out the amorphous blob to figure out what might worth investing in is beyond me. There may be too many marginal players. From my perspective as a end user, SiriusXM $SIRI -- http://www.marketwatch.com/investing/stock/siri -- seems easier to use and sounds great on the car's SONY audio system and on a big Bluetooth stereo speaker linked to my tablet. Play on...
     
  2. Rainman

    Rainman Senior Investor

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    I haven't tested the app yet but I've heard that Youtube music is much better than Spotify.

    http://www.stuff.co.nz/technology/apps/74054812/why-youtube-music-could-beat-spotify
    So it does look like the other streaming services may not be too profitable unless they have something better to offer their subscribers.
     
  3. pwarbi

    pwarbi Senior Investor

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    I think that's the problem with any market when a big player enters it, it tends to swallow up its competitors in one swoop.

    While spotify is probably the best known and most used service in the world at the moment, it's going to have a fight on its hands to keep that top spot when Google and YouTube music gets launched worldwide.
     
  4. MakeDollarsSense

    MakeDollarsSense Well-Known Member

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    Spotify is definitely my go to music browser now. It's way better than Pandora, and has full catalogs of artists work.
     
  5. baudwalk

    baudwalk Senior Investor

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  6. Onionman

    Onionman Senior Investor

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    I'd never even heard of Rdio until I tried earlier to see whether I could get my smartphone to play all the Shazaam songs that I had connected with. As we speak, I'm able to play these songs through Rdio. The service seems decent. I'm not sure yet whether the service I'm getting is a free trial or is free forever. Regardless, I'm enjoying using it and no doubt I'll get dragged kicking and screaming into the 21st century with streaming and streaming investment opportunities.
     

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