Published By : 12 Dec 2017 | Published By : QYRESEARCH
Apple has been reported to buy song-detecting technology firm, Shazam, a company that has built up a massive user database over nearly a decade, for an expected sum of US$400.0 million. Shazam has built something that is priceless for the business of Silicon Valley giants – a treasure trove of data. For Apple’s business involving mobile music customers, the acquisition might be more about purchasing valuable customer base and data. With regard to the company’s library of knowledge, information relating to historic music preferences, music purchases, and music searchers could be extremely critical. The acquisition between the two companies had been confirmed Monday.
Deal Signifies Apple’s Serious Steps Taken toward Battle of Mobile Music Customers
A Shazam spokesperson had said that Apple is a better home for the company to continue to deliver magic and innovate. An Apple spokeswoman, on the other hand, described both the firms as a natural fit. It is doubtful whether the Shazam app will be included in Apple Music or continue to function as a standalone app. Spotify and Snap had been interested in buying Shazam but lost out to the tech giant. Shazam and Apple have not commented on the future status of Spotify and Snap’s partnerships with the British app development company.
The acquisition has been expected to give Apple a competitive edge in reaching and understanding new customers with personalized music playlists and recommendations. This could be possible with the attainment of Shazam’s extensive database. Although there have not been any update on Apple’s plans for Shazam, it would not be a surprise if the song-detection app prioritizes referrals to Apple Music.