Spotify will buy SoundCloud?

The music streaming service Spotify is in advanced talks to buy SoundCloud.
This year, the platform SoundCloud online audio distribution has made the shift to a more classical music streaming service - while keeping its underground DNA - by launching a pay offer SoundCloud Go Yet, according to a report in the Financial. Times, Spotify is in advanced talks to acquire SoundCloud.

Both interested based in Europe refused to comment on the report. Spotify currently represents 40 million paying subscribers (out of 100 million active users), while SoundCloud boasts 175 million monthly active users for its free offer.

Spotify could be interested in the catalog of more than 135 million songs from SoundCloud, and especially for his remixes and his ability to bring new artists. Moreover, SoundCloud has a strong community dimension. A more social music platform than others and this aspect may be missing Spotify.

Despite its leading position in the streaming music business, Spotify faces the weight of Apple compete with already 17 million paying subscribers for Apple Music. For now, the latest figures show that Spotify is growing faster Music on Apple in recent months. Still, the threat Amazon is also on the horizon.

With a valuation at $ 8.5 billion, Spotify has not registered year profit almost 8 years old and seems to be preparing an IPO, probably in summer 2017. During a round involving Twitter, SoundCloud had raised $ 100 million in June and with a valuation at $ 700 million.