Apple Buys Song-Recognition App Shazam

Kristi Paul
December 13, 2017

Shazam already integrates with Apple Music, referring many of its 100 million users to play songs on its platform. At the time, TechCrunch and Recode reported that their sources pegged the deal at roughly $400 million, a real bargain compared to Shazam's $1 billion valuation back in 2015. Shazam was one of the first apps on the Apple App Store after all. When asking Siri to identify a song, the assistant pulls up the result through the help of Shazam. The company has launched its own music and video streaming service which nearly took two years to compete with the music companies like Spotify and Pandora.

It went on: "Apple Music and Shazam are a natural fit, sharing a passion for music discovery and delivering great music experiences to our users".

"We are thrilled that Shazam and its talented team will be joining Apple", an Apple spokesperson told The Verge. "We have exciting plans in store, and we look forward to combining with Shazam upon approval of today's agreement", said Apple.

Shazam makes the namesake song recognition app that allows users to identify songs they have never heard before.

Even so, Apple announced Monday that it's purchasing Shazam.

The acquisition makes flawless sense when you consider Shazam's talents, and Apple's focus on where to take technology next.

Apple did not reveal much about this acquisition and the Business model to run through Shazam, however as mentioned above, Apple will get benefits by selling out songs through Siri and other platforms. The company continued investing heavily - most notably by acquiring Beats Music and Beats Electronics, a headphones and speakers company combined with a streaming service founded by rap mogul Dr. Dre and producer Jimmy Iovine. However, neither Shazam nor Apple have disclosed any information regarding the status of these partnerships.

The two companies were in talks for several months, and Shazam also discussed a deal with Snapchat and Spotify, the report said.

As Apple Music chases Spotify's subscriber base numbers, such acquisitions will help add more value to Apple's own services.

Other reports by VideoGamingPros

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