Soundcloud Receives $170m in Fresh Funding
Reports earlier this week reveal that online audio distribution company Soundcloud managed to secure $170 in investment, staving off immediate money problems.
The Berlin-based company was threatened with closure, signaled by a drop in valuation from $700 million in 2014. Difficulties came to a crux in July when 40% of the workforce had to be laid off, and management had to admit to shareholders that the company would not be able to continue without additional funding.
Sources say that Soundcloud will be rolling out major changes after receiving the money, such as cost reduction measures, additional monetization plans, and a shake-up in top management positions.