SoundCloud could be forced to close after $44m losses
Quote:
While SoundCloud brought in €15.37m ($17.35m) in 2014, it lost a total of €39.14m ($44.19m). Employee wages during that period also increased 42.5% to €17.9m, meaning that the average wage per employee for that year totalled €79,980.
According to the Financial Times, SoundCloud auditor KPMG said in the report that the need for more investment represented “a material uncertainty which may cast significant doubt on the company’s ability to continue as a going concern.”
Good. Soundcloud is trash now and continues to get worse with each policy update. The amount of music they have taken down that was legally allowed to be uploaded has frustrated the community/artists for far too long now.
That's what happens when you do everything for free. Spotify's losses will soon catch up to them too. Freemium is just not sustainable. If they were smart, they would have done something on the side using the money they WERE making like Starbucks does with channel distribution. It's not just coffee that makes them so much income.
I use soundcloud and pay for Souncloud Pro. Theres basically no reason to pay for it except for the ability to view stats and replace your audio file. They need to improve their features if they want people to upgrade to Pro. It's not cheap either, considering how minor the features that come with it are.
damn
