Business Analysis · Business model

What has happened to SoundCloud?

Puneet Prashar HR Executive at Mobile Programming

Last updated on May 19th, 2017

Crunchbase just published an interesting analysis of the decline of SoundCloud. One interesting point is that SoundCloud’s positioning and business model were initially centered on independent artists. The company began struggling after it pivoted to court major labels, which, among other effects, put it into conflict with Apple, Spotify, etc. Was this the decision that sent SoundCloud spiraling downwards?

Brent Laminack Principal at OpenFace Systems, Inc.

May 19th, 2017

SoundCloud's never been profitable, as far as I could tell. It wasn't making any money in the Indie music market, so tried pivoting and that didn't work either. They never had a workable business model. It's always been going downhill, but just accelerated after the pivot.

Michael Borowski Analytical Entrepreneur Interested in Online Stuff

May 19th, 2017

The put in a program to find copy-written music, this removed remixes, and mixtapes of people rapping over beats not made by themselves. This made a lot of the community leave to other music sharing services.

Gogein Alois Gontoro High-End Retoucher | 3D Arch. Viz. | Entrepreneur

May 22nd, 2017

I agree with what Brent Laminack and Michael Borowski said. SoundCloud never makes any profit for me. And I don't like SoundCloud because many artists in there are using someone's song or audio. They mixed it, modified it, and then claimed it as their own. Not good at all. But, it doesn't mean all artists on SoundCloud is bad. Nope.