Analytic Dreamz: Notorious Mass Effect - "SOUNDCLOUD IS REPORTEDLY LOOKING TO SELL FOR $1 BILLION"

Episode Date: February 7, 2024

Linktree: https://linktr.ee/AnalyticA Turning Point for the Audio Platform?SoundCloud, the iconic audio platform renowned for its diverse creator community, is reportedly exploring a potential sale with a price tag exceeding $1 billion USD. This segment delves into the latest developments surrounding this news, analyzing its possible implications for the future of SoundCloud and its users.Key Discussion Points:Shifting Tides: We'll unpack the motivations behind the potential sale, examining the challenges SoundCloud has faced in achieving profitability despite its loyal user base.Valuation Spotlight: What factors contribute to the reported $1 billion valuation? We'll explore SoundCloud's unique strengths and the potential appeal it holds for interested buyers.Uncertain Trajectory: What does the future hold for SoundCloud's creators and listeners? We'll discuss potential scenarios under new ownership and the impact on the platform's identity.Industry Implications: How could this potential sale reverberate within the broader audio streaming landscape? We'll analyze the wider industry context and potential consequences.Join us for a comprehensive and insightful exploration of this pivotal moment for SoundCloud. Stay tuned for expert analysis, informed speculations, and thought-provoking questions about the platform's future.Privacy & Opt-Out: https://redcircle.com/privacy

Sir, thank you, Liberty City. What a pleasure to be here at this motherfucking club. You are kicking the shit out of the club on the other side of town. Club bullshit. You know, I think I'm just going to start every segment for this episode with a Cat William skit from GTA4. Now, I don't know how in the world I found this, but somehow this crossed my timeline because, of course, we're getting into SoundCloud.

People who came for SoundCloud are probably wondering, What in the world does this have to do with how SoundCloud is preparing to sell their company? Well, ladies and gentlemen, it has nothing to do with that, but everything to do with your personal enjoyment. So let me just play for you a little clip from Kat Williams on GTA4. It's like living in a studio apartment again. You ever been in a studio apartment? It's ridiculous. Because it's got everything but nothing. Like you see the living room.

It's right there. There's the kitchen corner right there. Set up. It's just so small. You can do everything. I mean, this is legendary. I didn't even know Cat Williams was on GTA 4. You learn something every day.

All right, then me open up the refrigerator. Who, who left my shower curtain open like that? That is ridiculous. Somebody's at the door. Hello? Hey, come on in and sit on the couch. Well, it's a love seat, but you can sit. That's how that other club was, just that small.

So anyways, with that being out the way, because, of course, I'm going to keep bringing those little comedic bits throughout the entire episode, but more importantly, we have to get into why in the world do we care about SoundCloud preparing to sell the company? Now, the reason why this is a big deal is because C-O-O-O-and-C-F-O-O-Drew Wilson is set to leave the company after almost three years in a row, right, three whole years. I mean, not even a presidential term, but that's besides the point, right? The biggest goal for SoundCloud is to reach a valuation of 2.5 billion with the B. But the more commonly cited goal was around 1 billion. So with that being said,

of course, there's a little discreferencey in the actual numbers, but the biggest thing is SoundCloud trying to reach profitability by December. So with that being said, the company ultimately is trying to sell for one billion. And the rain group, and T-Mask holdings reportedly exploring investment banks. And with SoundCloud being founded in 2007, definitely playing a significant role for creatives in general and hip hop. I mean, there was literally a whole wave

of just SoundCloud rappers where we're still just recovering from that wave to this day. I mean, if Little Yaddy wasn't so pivotal, in the careers of different movements in hip hop, I would say the whole SoundCloud rapper's movement was atrocious. But at this point in time, it's hard to say that because we still have the likes of Lido Yadi and Uzi and a lot of other artists still impacting the charts to this day.

So why I'm even bringing that up? It's because covering SoundCloud, you have to understand the importance it had on hip hop, And to this point, I feel like TikTok is becoming the new SoundCloud to where it's going to be a wave of TikTok rappers. Just like there were SoundCloud rappers, they're going to become a wave of TikTok, TikTok rappers to the point where now artists that used to pioneer the way for the upcoming musicians is no longer, well, they no longer have their stronghold on the influential part of. making a musician so where does that leave them obviously that's a more elementary take on why i believe they're probably actively preparing to sell the company but when you look at ticot when you look at what sound cloud was really known for it was discovering and blowing up musicians at this point it kind

of seems like ticot has definitely overtook over uh overtook is that's right anyways overridden the influential part and they've claimed it for themselves. So the biggest thing that you need to know coming away from this is that SoundCloud is still one of the more user-friendly platforms for creators. I would still say that. But as far as a profitability standpoint and as far as looking to reach their goals and just have certain valuations of $2.5 billion. and not meeting them.

I think that's the reason we're seeing this today. And for them being so influential, I mean, to the point where SoundCloud, like, contributes to more than $26 million, as far as just services, like as far as creator tools and services, they have to front a lot of money. So that means they have to bring in a lot of money.

And at this point, I don't know if they're at the same level as they used to be financially and influential wise because of course we have TikTok. So at the end of day, I think TikTok's the reason why SoundCloud is not going, they're not going under, but they're going to sell to somebody else.

And somebody else will have to realize how to make a profitable company in SoundCloud as with it being founded in 2007. Obviously something was working because we're in 2024 and it's still going strong. So at the end of day, I could only attribute their willingness to sell to TikTok because I'm not going to keep, you know, reiterating my statements. But basically, that's just how I feel when it comes to why I feel like they're trying to sell. And for creatives, I think that SoundCloud is not going to be one of those platforms to push the needle going forward. I think it's going to be TikTok.

It's probably going to be Twitter. and then Instagram and then that's it like SoundCloud what was it Deaser there's other ones SpinRilla all of those platforms are becoming the new Blockbuster like they're still around but as far as the influential

impact that they once had in the culture I just think is no longer there so with that being said a little quick business update for y'all as far as one of the more prominent platforms in hip hop and just music creation in general So click my link tree in my bio and let me know one of my social media is. What do y'all think about SoundCloud?

I'm actively preparing to sell the company. And also, what do you think is the most influential platform for upcoming musicians?