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Spotify valued at $1.1bn as reports of 175k paying US subscribers circulate


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Did you think the Spotify rumourmongering would quieten down once its US launch was out of the way? Tsk. There are two separate reports this morning focusing on the company’s last round of funding and its performance in the US. The former comes from PaidContent and is at least based on hard facts: documents filed by Spotify in Luxembourg. They show that the company raised just over $98 million this summer at a valuation of $1.1 billion, with $78 million coming from existing investors and $20 million coming from new investors. $32 million of the former came as a “contribution in kind” rather than cash, which PaidContent speculates is record labels waiving royalty advances. The filings also reveal a $37.7 million loss for 2010 for the company. Meanwhile, All Things Digital is quoting a source as saying Spotify now has 1.4 million registered users in the US, with 175,000 of them paying subscribers – a promising early conversion rate of 12.5%.

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