Update: Apple has confirmed the rumors. “We are thrilled that Shazam and its talented team will be joining Apple,” the company stated. “Apple Music and Shazam are a natural fit, sharing a passion for music discovery and delivering great music experiences to our users. We have exciting plans in store, and we look forward to combining with Shazam upon approval of today’s agreement.” The deal is worth $400 million.
Rumor is Apple is bound to end this year with aplomb. According to credible sources, Apple will acquire Shazam this week #softwaremagic
Online publication TechCrunch has spread the rumor, insisting that the Cupertino giant might close the deal on Monday, December 11th. Until then, we cannot say how much did Apple offer but it’s less than the $1.02 valuation Shazam received back in 2015. Some say it’s somewhere around $404 million.
News of the acquisition might seem sudden, but it’s pretty logical if you think about it. Lately, Shazam has played its cards right, betting on augmented reality and giving brands the opportunity to play with the technology. Customers had the chance to see easy, entertaining AR content via smartphone… and this is exactly what Tim Cook and his team are after for.
Plus, the core services of Shazam – listening and recognizing sounds and registered music – are right up their alley. Think about the upcoming HomePod launch and you’ll see what we mean. It’s clear why Apple would make such an acquisition… but where does that leave Shazam? Will the app remain separate or will it be absorbed?
It’s too early to tell. Apple has left some companies to stand on their own, like Beats. There’s another issue to be considered as well; will Apple leave the Android version of the app stay on Play Store? Our instinct tells us it’s not likely too, but we’ll have to wait and see what’s their strategy here.
Shazam is up and running for 18 years now, initially working as a service reachable by SMS. It’s going to be interesting to watch its evolution under Apple’s wing.