Google (NASDAQ: GOOG) added another company in its cluster of acquisitions, according to some of the reports from the New York Times, Google took over the Songza, a music playlist service, for no less than $39 million.
Yet after so many companies, including Apple Inc., (NASDAQ: AAPL) which recently acquired Beats Audio, the Internet giant is also looking forward to build its market in music services. Google on Thursday announced that that they have acquired a three year old app called Songza, which creates a customized playlist according to the user’s recommendation. Songza, however, does not build a playlist on its own. Instead, it takes suggestions from the user.
The New York Times reported that the deal was settled for an amount of $39 million; however, the Songza officials denied commenting on it. It is being speculated that the Mountain View giant paid the price all in cash.
“You know why we love building Songza? Because you trust us to make every moment of your day better — and that’s a pretty huge honor. Today, we’re thrilled to announce that we’re becoming part of Google. We can’t think of a better company to join in our quest to provide the perfect soundtrack for everything you do. No immediate changes to Songza are planned, other than making it faster, smarter, and even more fun to use.” said Songza in a statement on its website.
The deal closed with the Songza would probably bring more advanced features in Google Play Music. It is being speculated that the Google will bring a music streaming service, similar to Spotify, for its web users.
A few weeks ago Apple also acquired Beats for about $3 billion and now looking forward to introduce new music service and or the new Apple branded Headphones manufactured by Beats.
These deals would put more competition in the market and both the companies will strive to produce better and efficient products.