It’s no shock that music-VR startup MelodyVR is reporting losses: the company is pre-revenue, and has yet to launch its app commercially.
The British firm’s financial results are useful in showing the costs of building that app and its catalogue of licensed content though. The company recorded a net loss of £2.6m ($3.5m) for the first half of 2017, up from £1.2m in the first half of 2016.
The publicly-listed company ended June with £6.5m in the bank to cover its future development, licensing and marketing costs though, having raised £5m in a new placement of shares earlier that month.
MelodyVR also says that it added 74 new artists to its roster of VR content in the first half of this year, as well as signing exclusive partnerships with 11 festivals, venues and events brands.
When is the company launching its app? Chairman Sean Nicolson said the launch will be “timed to benefit from the significant sales of consumer [VR] devices anticipated over the holiday period” – so don’t expect a release this year.
In an interview with Music Ally earlier this year, CEO Anthony Matchett told us that MelodyVR is waiting for there to be between 20m and 30m VR headsets in use, and estimated that in July the total was only around 11m.