MelodyVR Acquires Napster To Create ‘Next-Gen’ Streaming Service
Virtual-reality music startup MelodyVR has acquired Rhapsody Int’l and its Napster streaming music service in a deal worth $70 million.
Napster as 3 million paying users and delivered 0.8 billion streams in 2019 with revenues of $113 million. The company owes record labels and publishers $44 million in debts to labels and publishers that were now transferred to MelodyVR.
MelodyVR has seen some success producing about a dozen immersive concerts including Post Malone, John Legend, Khalid, Emeli Sandé, The Chainsmokers and Cypress Hill.
Now the startup hopes to combine with the Napster service to offer fans both streaming and VR concerts is a signal subscription platform.
“MelodyVR’s acquisition of Napster will result in the development of the first-ever music entertainment platform which combines immersive visual content and music streaming,” said MelodyVR CEO Anthony Matchett. “For music fans today, live and recorded music are intrinsically linked. We are as keen to see our favorite artists perform live as we are to listen to their albums.”
“Our purchase of Napster, one of the music industry’s original disruptors, is born out of our wish to deliver the world’s foremost music experience, available seamlessly across audio and visual media and in turn presenting a truly next-generation music service,” according to Matchett.