Spotify Closing on a Deal to Raise $400 Million USD at $8 Billion USD Valuation

Spotify is on track to become one of the highest valued private tech companies in the world after a recent round of funding has taken its value to $8.4 billion USD. The latest valuation is pending a deal with such investors as Goldman Sachs and Abu Dhabi’s sovereign wealth fund, and if successful, will mean that Spotify’s value has almost doubled in just six months – having being valued at $5 billion last September. Despite these impressive numbers, Spotify is still under increased pressure to up revenues. Big record labels such as Sony, Warner and Universal own approximately 15 percent of Spotify, and reportedly want to convert more customers to be fee-paying as they aren’t confident that ad revenue alone can make up for lower sales of CDs and downloads.