SoundCloud today announced that it has closed the investor round necessary to keep it going for the foreseeable future. As part of the agreement, Alex Ljung will step aside and former Vimeo leader Kerry Trainor will become SoundCloud’s new CEO, with Mike Weissman as COO. Ljung will stay on to “fully focus on the role of the chairman and the long-term.” Billboard reports the exact amount of the investment is $169.5 million, which, says Ljung, makes this infusion “the largest financing round in the history of SoundCloud.”
Companies these days seem to be averse to the stupid, old idea of charging money for a product. It’s all about getting funding, which is not generating revenue.
I know, I know, SoundCloud does charge for their service, but they didn’t until last year.
Seriously, people. If you want a quality product, you have to pay for it. What is so wrong with this idea? This then raises the question, Is SoundCloud a quality service? Many podcasts syndicate their content on SoudCloud, but I get mine from iTunes and I already pay for Spotify Premium.
Remember, when you’re not paying for the product you use, you are the product being sold.