SoundCloud released its financial reports this month and immediately speculations of its end are being discussed. The reports reveal that SoundCloud has lost over 70 million dollars the past two years, despite many investments and its rise in popularity in the music community.
SoundCloud tried to introduce advertisements to halt its losses, but with almost every user using ad blockers on their browsers, the advertisements were negligible. SoundCloud is now stuck in a shady situation. The company either turns the business model around or shuts down completely.
SoundCloud has responded to the massive outcry regarding their shutdown. The company says they are discussing potential licensing deals with Universal Music Group and Warner Music Group.
A SoundCloud shutdown could be bad for music lovers and upcoming artists. SoundCloud offers easy ways for to upload music and is largely known for being the king of fresh music you otherwise wouldn’t be able to find.
Artists ranging from simple indie bands to widely known DJ’s like Major Lazer rely on SoundCloud for a reliable way to market their music. Quality, data usage, reposting and being able to close the app and still listen to music are all features SoundCloud offers that beat out competitors like YouTube.
Many suggestions are being discussed by users in order to improve the website like improving its search function, implementing song purchases and limited advertisements.
Whatever improvement SoundCloud decides to implement, many hope it will persevere. A shutdown would be a sad day for new artists and music listeners everywhere.