Google Adds Songza to Its M&A Playlist
The price tag isn't quite as big as Apple's Beats acquisition, but Google has fired back with its own music acquisition of curation app Songza.
Google (Nasdaq: GOOG) announced the acquisition on Tuesday without revealing terms of the deal, but the New York Post reported last month that it could be worth $15 million. Songza builds human-curated song playlists based on the time of day, mood of the user, or other potential activities, such as driving home from work, boosting your energy, or watching the World Cup (we know you are right now).
Google says the four-year-old company's 50-or-so "curators" will help build contextual recommendations for Google Play and will build its radio technology into its Music All Access subscription service. It also plans to keep the app up and running as is.
“We'll also look for opportunities to bring their great work to the music experience on YouTube and other Google products," Google said in its statement. The Android giant is expected to release a YouTube streaming service soon as well.
Music is shaping up to be a competitive, sought-after mobile service with wireless operators getting in on the action by cutting deals with popular apps. T-Mobile US Inc. recently began offering eight streaming music services free of charge (although there's been some billing hiccups), while Sprint Corp. (NYSE: S) inked a deal with Spotify to offer free service to Framily plan members. Apple Inc. (Nasdaq: AAPL) is also set to make an even bigger musical push with its Beats acquisition, and Amazon.com Inc. (Nasdaq: AMZN) has responded with its own Prime streaming music service. (See T-Mobile: You, Seven Nights & the Music, Sprint Plans More Bundled-Content Offers, and Apple Confirms Beats Buy for $3B.)
— Sarah Reedy, Senior Editor, Light Reading