Social music app Flipagram has been rumoured to be seeking an exit for some time now. Yesterday it got it, after being acquired for an undisclosed amount by Chinese news-apps firm Toutiao.
The deal will see Flipagram, which helps people create and share videos using licensed music courtesy of its deals with rightsholders, continue as an independent entity.
“Toutiao aims to expand its footprint in the United States and intends to invest in and grow the Flipagram team as appropriate,” is how the announcement put it.
That announcement came with some new big numbers for Flipagram: it claims that more than 200 million people have used the app, creating more than 500m video stories with the 60-second song clips provided by labels.
That community – although its number of active users is unclear – will now meet Toutiao’s audience of 175 million monthly active users of its aggregated news service.
Flipagram first made waves in the music industry with its label deals and a $70m funding round in 2015, but in 2016 it faced reports that it was either pulling out of music or searching for a buyer.
The latter turned out to be true: we’ll see now which direction Toutiao steers Flipagram in on the former count.