Remember Shazam? App is valued at $1 billion

Remember Shazam? App is valued at $1 billion
Remember Shazam? One of the first apps every advertised for the App Store, Shazam was seen on a television commercial for the Apple iPhone 3G. Once the app is loaded on your phone, you can put it next to the source of a particular song and Shazam tells you the name of the tune and displays real-time lyrics. The app will also connect to music streamers like Spotify and Rdio so you can listen to the whole song. And Shazam also helps you purchase the music you hear.

100 million people used Shazam every month of last year, compared to the 70 million that did so in 2013. With that in mind, the company raised $30 million in a new round of funding on Monday. That stake works out to a bit under 3% of the company which means that Shazam now has a billion dollar valuation. Shazam is "intentionally not profitable" as it reinvests proceeds into new technology. The latest public information shows that for the six months ended December 31, 2013, the company lost $8.8 million on revenue of $25.6 million.

Shazam earns its daily bread by taking a cut of digital music downloads from iTunes and other music repositories that it sends users to. Five years ago, Shazam added television commercials to its database of 35 million songs, and will expand to stores, products and print ads that can be identified using a smartphone camera.

The company is branching into advertising. Those shopping in Office Depot and Office Max in the U.S. can open the app to receive promotional offers to use in the stores. Eventually, you might open Shazam while at a concert, movie or the supermarket seeking more information. The app has certainly come a long way since its debut in 2002. Back then, you would place your cellphone near the source of the music and receive a text with the name of a song.



source: WSJ

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16 Comments

1. AlikMalix unregistered

I Don't have shazam installed anymore as it is integrated into Siri. It has been and still is the best service to discover music. The integration into Siri was a huge huge plus!

12. promise7

Posts: 894; Member since: Jul 03, 2013

I kept Shazam app for the times I don't want to ask Siri out loud or around people, "What's this song?"

2. XperiaFanZone

Posts: 2277; Member since: Sep 21, 2012

How does the SoundHound app compare?

3. Dattack

Posts: 61; Member since: Jan 09, 2013

It's way better tbh lol.

6. Eclectech

Posts: 349; Member since: May 01, 2013

It's like Burger King to Shazam's McDonald's

7. zacsaturday

Posts: 262; Member since: May 09, 2014

there's a difference?....

10. Jamoga

Posts: 187; Member since: Dec 17, 2014

shazam is better, discovers music that soundhound couldnt for me.

16. duartix

Posts: 311; Member since: Apr 01, 2014

Shazam is the biggest data whore in the whole store. It goes as far as trying to sell you your own tags. When you try to upgrade your phone you'll find out. Soundhound treats your tags as your data.

11. promise7

Posts: 894; Member since: Jul 03, 2013

They both recognized songs correctly for me, but Shazam did it much faster so I stuck with it.

14. AlikMalix unregistered

Not sure about Sound Hound, but the reason I stuck to Shazam is that it identified 100% of music from my native country (unless it was a remix of a remix version or something weird like that). But bottom line - shazam crosses countries and languages. Sound hound maybe too, but due to perfect accuracy of shazam I never needed to look anywhere else. Plus it links to buy on iTunes (including most international music).

4. wilsong17 unregistered

Google now laugh☺☺

5. downphoenix

Posts: 3165; Member since: Jun 19, 2010

Shazam is pretty nice, and has gotten better over the years. On some songs it identifies it in less than 2 seconds, much better than back in the day when it had to listen to a decent sized chunk of song, like 15 seconds or so. I find it's worth more than the $18 billion Facebook spent on Instagram.

8. surethom

Posts: 1691; Member since: Mar 04, 2009

Nice app but it STILL cannot handle a person humming a song or someone else singing a song.

9. skymitch89

Posts: 1452; Member since: Nov 05, 2010

What do you mean "Remember Shazam"? I use it almost every day when I hear songs on the radio or tv that I'd like to listen to later.

13. Tritinum

Posts: 471; Member since: May 06, 2014

I still prefer soundhound

15. duartix

Posts: 311; Member since: Apr 01, 2014

Yes, I remember Shazam. What I remember best is Shazam always being ready to sell me stuff 10x faster than to point me to the video of a song I had tagged previously, and most notably, about asking me for money (go Pro) in exchange for giving me a list of my tagged music. As soon as it happened, I copied that list of songs to a youtube playlist and uninstalled Shazam the next minute. Yes Shazam is fast, but that's where the good stuff ends. :( Shazam is the biggest data whore in the whole PlayStore and it's got the nerve to try to sell you the data you fed it with. Soundhound even if slower is in another league altogether in the way it treats you and your tags. I can't recommend it high enough.

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