It is open season on SoundCloud speculation, as the streaming service seeks a new round of funding to keep its doors open beyond the end of 2017.
This situation is not in doubt – SoundCloud itself admitted it within the company’s last set of financial results – but we’re a little surprised at the single-source rumours that are making their way into print.
The Financial Times recently ran a story with an anonymous source claiming SoundCloud was ‘begging for money’ from investors.
Now tech site Recode has its own single source updating it on SoundCloud’s sale hopes: “One source thinks it will consider bids, as long as they’re above the total investment it has raised to date — about $250 million,” claimed its story.
SoundCloud’s spokesperson told Recode that discussions “reflect the market interest in our differentiated platform, unmatched user reach and strong outlook for 2017 and beyond”.
The question is less about whether or not SoundCloud will be sold, but how low the price will go before that happens.
SoundCloud has built something valuable enough for someone to snap up, but it is in the unenviable position of trying to negotiate terms (or, indeed, funding to buy more time for that process) with a pressing deadline and swirling rumours.