Monday, July 2, 2012 - 11:35am
It's official: audio technology company Beats Electronics is acquiring music streaming service MOG, reports USA Today.
Terms of the deal have not been disclosed, but the L.A. Times and Evolver.fm pin the figure at less than $10 million. Engadget writes, "MOG is said to have raised $33 million in funding to date, so that might give you a ballpark figure."
We first heard rumors about the acquisition in March (RAIN coverage here). Beats Electronics is the company behind those iconic Beats By Dr. Dre headphones. It's also partly owned by major mobile device maker HTC (though it's "unclear how or whether" that company is involved in this deal, reports Engadget).
Evolver.fm's Eliot Van Buskirk sees possibilities for HTC though: "Between Beats, MOG, and its own stuff, HTC can now connect the dots between smartphones, headphones/speakers, and a freemium music subscription, offering ample opportunities for bundling and co-branding."
"Time will tell exactly how we integrate our products and services," said MOG founder/CEO David Hyman. "The addition of MOG's music service to the Beats portfolio will provide a truly end-to-end music experience."
"For now, MOG will remain the same product today as it was yesterday and offer the same rich experience," said Beats president/COO Luke Wood. "What we do know is that we're committed to offering an integrated experience for the consumer — from the point of discovery to the point of playback."
MOG was founded in 2005. Though an on-demand music service like Spotify, MOG has long offered noteworthy streaming radio services (find RAIN's review of their radio offerings from 2009 here). It offers 16 million songs and reportedly has around 500,000 registered users.
MOG has actively partnered with device- and automakers, including BMW, Ford, Logitech, Samsung, LG, Barnes & Noble and others.
You can find more coverage from USA Today here, the L.A. Times here, Engadget here and Evolver.fm here.