SiriusXM Is Buying Pandora

Pandora is valued at $3.5 billion.

By
Music
2,360 Hypes 1 Comments

SiriusXM has agreed to purchase the online music streaming service Pandora for $3.5 billion USD. The New York Times reports that the aim for the purchase is to attract listeners who don’t want to pay for premium radio channels. The transaction is expected to close in the first quarter of 2019. HYPEBEAST reached out to reps from SiriusXM for comments on acquiring Pandora.

Being one of the first commercial enterprises to sell radio service through satellite systems, SiriusXM buying Pandora would give the radio company entry to ever-expanding listeners pool who prefer streaming through mobile phones. This move is especially beneficial for Pandora; the company was struggling to compete with rival streaming services like Spotify and Apple Music.

“It would allow Sirius to reach a much broader audience,” said Justin Patterson, a music industry analyst, to the NYT. Patterson likens the business move to AT&T acquiring the satellite service DirecTV. The acquisition enables Sirius to offer listeners who do not want to pay for music Pandora’s free ad-based model.

It was reported last year, SiriusXM invested $480 million USD strategic cash in Pandora. The money was used to cover basic expenses and reordering the top positions.

Pandora, which began 18 years ago, became successful because its radio stations were custom made to the users. Before the acquisition, the company has over 70 million monthly users and is only available in the United States, Australia and New Zealand. SiriusXM has over 36 million subscribers in North America. With the combine listeners, the companies claim that this would create the largest digital audio audience in the United States.

Read Full Article

Join Our Discussions on Discord

The HYPEBEAST Discord Server is a community where conversations on cultural topics can be taken further.

101 Users Online

What to Read Next

Users Report iPhone XS and XS Max Have Poor Cellular & Wi-Fi Reception
Tech

Users Report iPhone XS and XS Max Have Poor Cellular & Wi-Fi Reception

Some say the issue is similar to the reception issues of the iPhone 4.

Next Nike Air Max 95 Will Sport "Reflect Silver" Color
Footwear

Next Nike Air Max 95 Will Sport "Reflect Silver" Color

Own the night in the ‘95.

Off-White™'s MR PORTER-Exclusive Tote Bag Is Now Available
Fashion

Off-White™'s MR PORTER-Exclusive Tote Bag Is Now Available

Marble meets diagonal stripes.


Celebrate Mid-Autumn Festival with These Five Luxurious Mooncakes
Food & Beverage 

Celebrate Mid-Autumn Festival with These Five Luxurious Mooncakes

890 calories of deliciousness.

Marina Abramović Attacked By Man Brandishing Portrait Of The Performance Artist
Arts

Marina Abramović Attacked By Man Brandishing Portrait Of The Performance Artist

The artist is reported to be unharmed by the assault.

Dr. Dre TV Series Reportedly Dropped by Apple
Music

Dr. Dre TV Series Reportedly Dropped by Apple

‘Vital Signs’ was first announced in 2016.

More ▾
 
Subscribe to our Newsletter

Gain access to exclusive interviews with industry creatives, think pieces, trend forecasts, guides and more.

By subscribing, you agree to our Terms of Use and Privacy Policy.

Help us serve you better

We appreciate your support in allowing HYPEBEAST ads, where we can share contents from the latest fashion, to those culturally relevant. In adding HYPEBEAST to your ad blocker's whitelist, ads on our sites will show while you continue to browse.