SoundCloud has had a bumpy couple of years to say the least! Along with bankruptcy speculations, major executives quitting, downsizing staff and not to mention stiff competition with other streaming services (ie. Spotify) it seemed SoundCloud was doomed. However, after their $170M bailout, SoundCloud's total sales have now surpassed its revenue goal of $100 million under the direction of their new CEO, Kerry Trainor.
According to Financial Times, Trainor mentions a major reason for SoundCloud's recent success is due to their new business strategy of focusing on music creators themselves. SoundCloud is able to sell its music creation tools to artists and podcasters…instead of trying to compare and compete with Spotify. The new strategy seems to be working with SoundCloud's positive cash flow within the recent months. It seems like SoundCloud is doing pretty okay for itself for now. It should be interesting to see how things play out for SoundCloud in the near future – we will have to keep our eyes peeled!
