Apple in talks to invest in iHeartRadio
A report in The Financial Times states that Apple has held preliminary talks about investing in financially troubled broadcaster iHeart Radio, in an effort to boost its streaming music service.
The FT pointed out: “Despite iHeartMedia’s financial difficulties, it remains the largest radio broadcaster in the US, operating more than 850 stations across the country.
“That makes it valuable to the music industry and its promoters, especially when it comes to breaking new acts or building awareness of the latest releases.”
The broadcaster is US$20 million in debt and needs the sort of cash injection that Apple could provide.
The FT reckons that the benefit for Apple is that it could bring its Beats 1 streaming radio station to a much wider audience when it debut on broadcast radio.
Beats 1 is currently only accessed via its app.
It would also get greater awareness among older audiences, who are later adopters of streaming services, and into more cars and kitchens
It would also have the extra firepower in terms of breaking acts by encouraging acts to premiere on Apple Music than Spotify.