There’s definitely a trend among online behemoths (like Google, Apple) to purchase hip streaming music platforms (like Simplify, Lala) as tools for an upcoming entree into the streaming music marketplace.
Amazon will be shutting down the service and reportedly focusing on Songza, a recommendation based streaming service purchased by Amie Street in 2008. Customers who have credit at Amie Street can use it before September 22.
The company was started by several students at Brown University in 2006. Amazon invested in them in 2007. They’ve been kind of struggling since then, trying to be innovative, and work with the big labels, and hold true to independents, and make some money.
So now Amazon joins in the race to launch the perfect streaming music platform. There’s plenty of room in the pool..
JL NOTES: There are some reporting that Amie Street founders will remain independent and working on Songza and that Amazon takes over only Amie Street the download platform.
Google has purchased Simplify Media, a software company that lets you easily share your music across the web, from desktop to mobile devices. The Simplify website is there, but largely inactive – you can no longer download the software, but it does explain that Simplify allows you to access music and photos from your devices (netbook, phone, desktop) without having to sync or download them, which is bound to involve a cloud server solution.
Reportedly, Google’s new mobile streaming music solution will enable multiple user platforms including iTunes, Windows Media Player and WinAmp. It appears that this will – at least initially – be a platform for Android, Google’s smartphone. Last week, Google CEO Eric Schmidt said that 100,000 Android phones are getting activated daily, up from 60,000 in April.
This is an announcement that flies in the face of Apple’s recent purchase of Lala, another cloud based solution. Lala is also currently inactive but Apple will likely use the service to integrate a cloud based feature into iTunes to enable listeners to listen to their song library from whatever device they want access on at that moment.
Interesting stuff, this announcement. Google is selling streaming audio ads, often as an option in an overall integrated approach to advertising that can include audio, video, and display/search through Google AdSense. This is a platform that can extend the reach of the audio portion of that game and make it a more interesting play for advertisers. Which could bring more dollars into the streaming audio ad revenue ballpark…