7digital has completed its acquisition of fellow B2B digital-music firm 24-7, which has been ‘handed over’ by its parent company, retailer MediaMarktSaturn.
That phrase is important: this isn’t a straight cash deal. Instead, as part of it, MediaMarktSaturn is becoming the biggest individual shareholder in 7digital, which will now also be powering its Juke! Together service.
“As a leading music retailer in Europe, music streaming will become an increasingly important business for us,” said the retailer’s COO Wolfgang Kirsch.
“As well as offering the six million visitors of our stores and online shops an alternative to physical releases, we can also offer added value to the playback devices we sell and attract new customers. Being a shareholder and customer of 7digital will enable us to jointly strengthen our existing offerings and develop new marketing models together.”
7digital will also be running the digital-music services from existing customers of 24-7, including Danish telco TDC.