Graphic: Kyle Petreycik

SoundCloud is Officially Off Death Row Thanks to $170M Rescue

For the last month, music and tech heads have been watching SoundCloud, the startup-turned-juggernaut music streaming company that had just 50 days remaining on its life expectancy at one point last month. Chance The Rapper led a spirited push to keep the company alive, but the true saviors have only just revealed themselves.

Today, the $170 million in investments that will keep Soundcloud in business have been officially announced, as is reorganization atop the company that includes long-time CEO Alex Ljung stepping aside.

Initial reports that investments from merchant bank The Raine Group and Singapore investment company Temasek Holdings would give Soundcloud the bailout package it needed have proven true today, as a news wire from the company details what it’s referring to as the “largest financing round in the history of SoundCloud.” Together, the entities will pour $169.5 million in investments into Soundcloud, boosting Soundcloud’s estimated value to $300 million. That stake, upwards of half the company’s value, will give Raine and Temasek shared control of the company.

In the release, SoundCloud explains the movement of their top officials, which includes Alexander Ljung, the company’s founder and long-time CEO, moving to a “Chairman of the Board” position, whilst former Vimeo CEO Kerry Trainor signs on to replace him. SoundCloud also announced the hiring of a new COO, Michael Weissman, who worked with Trainor at Vimeo.

“Now in its 10th year, I’m proud to say Soundcloud stands as an indispensable part of global music culture,” starts Ljung in a statement. “I look forward to fully dedicating my time to leading the board and helping drive SoundCloud’s long term strategic vision, and forging strategic partnerships and connections with industry partners and our one-of-a-kind creative community.”

Ljung has been hailed by many in the tech field as a pioneer for his dominance with a streaming platform built primarily off free subscriptions. However, he’s also been criticized for being too receptive to establishment principles, as well as his company’s inconsistent financial support of its users.

Regardless, Ljung sees a positive future for his company, despite the rough patches they’ve experienced in recent weeks. “Very painful” is how he described a massive round of layoffs, per Billboard. At the time, SoundCloud said that they were necessary to ensure the company’s success moving forward. It’s now time to show and prove.

Related Posts


Chance The Rapper and Young Thug Reunite For “Big B’s”


Chance the Rapper Wants to Save SoundCloud


Gamechanger: SoundCloud Launches Paid Subscription Service


Chance The Rapper and J.U.S.T.I.C.E. League Argue Over “No Problems” Payment


Report: SoundCloud May Have Only 50 Days To Live


Latest News

westside gunn Features

Westside Gunn and the Great Griselda Takeover

Respect the Almighty, no matter what language it's in
offset Features

Offset’s 15 Best Verses of 2017

Woo! Woo!
serious jones Video

Stairwell Freestyle: Serius Jones

Serius as a heart attack
antwon Music

The 10 Best Underground Mixtapes of 2017

You up on this?
adam22 Features

Adam22 of the ‘No Jumper’ Podcast Smashed the Like Button for SoundCloud

"When I'm getting hate, I can tell how to translate the hate into what they want from me"
donald trump Features

Donald Trump’s 31 Worst Tweets of 2017 (So Far)

He still has 21 days left for more misery
grownboitrap Video

Open Space: GrownBoiTrap

"Haitians don't play about that"
21 savage Features

21 Savage’s 10 Biggest Surprises of 2017

A weird 12 months for one of the year's breakout stars
remy ma Features

Wonder Woman: How Remy Ma Changed The Game For Female Rappers in 2017

"Contrary to popular belief, I'm not a bully. I actually bully the bullies"
J. Cole sitting on a porch in hockey jersey Features

Reexamining J. Cole’s ‘4 Your Eyez Only,’ One Year Later

This is a novel, everything else was the Cliff's Notes
Mixtape Art

Star Wars Meets Hip Hop On DJ Chong Wizard’s ‘The Last Mixtape’

You should be as excited about this mixtape as the movie
hopsin Video

Open Space: Hopsin

"If I feel like I'm a piece of sh*t, I'm going to be the coolest piece of sh*t to ever walk the earth"
Morlocks Knowledge

Knowledge Darts Vol. 30: Why Underground Rap Will Never Die

I'm still underground like a motherf*cking Morlock
beenie man Features

Murda She Wrote: Beenie Man, Konshens, Tarrus Riley, Aidonia x Govanna

The best real dancehall music right now
pineapple citi Music

So What If 50 Cent Stole Her Song? New Jersey Rapper pineappleCITI Is Moving On

The last thing she wants is for 50 to outshine her music
g herbo Video

Smoke a Blunt with G Herbo

“You need to be paranoid when you ain’t on some weed, ‘cause shit be going over your head.”