Shazam confirms $30 million investment, company valued at $1bn

Shazam’s latest funding round sees the music discovery app valued at more than US$1 billion.

Shazam announced the news yesterday, stating it had closed a US$30 million investment, however the investors haven’t been named.

Shazam Executive Chairman Andrew Fischer told Bloomberg“a couple of billionaires”were involved in the funding round, and in his official statement on the financing, said it will be used “to continue to focus on user growth and engagement.”

TMN reached out to Shazam Australia who said they were not authorised to comment on the funding.

2014 saw Shazam make expansions away from its audio recognition origins. Now, as a media engagement business Shazam has entered the TV, film, retail, radio and home advertising markets and integrated its app with Spotify and Rdio – a necessary inroad considering Facebook’s new dabbling with audio recognition. Shazam now reports it has 100 million monthly active users of its mobile apps – almost double the size of Spotify – and has been downloaded over 500 million times.

“Our move into multiple new environments in 2014 has allowed our users to connect to more aspects of their world while enabling our partners and advertisers to reach our massive and engaged user base like never before,” said Shazam CEO Rich Riley in a statement.

The sizeable investment, which doubles Shazam’s value since its last funding round in March 2014, suggests a more ambitious focus on itspartnerships program.

Andrew Fisher, Executive Chairman said, “This funding reflects the substantial progress we have made in delivering a new paradigm for brands and content owners to increase engagement with their audiences whilst magically connecting people to the world around them. We are delighted to welcome our new investors as we further strengthen our balance sheet and continue to effectively execute on our corporate strategy.”

The news follows a reported loss of US$8.65 million on $US27.6 million in revenuein the second half of 2013 and a $20 million investment in March last year from aconsortium of private investors. Known prior investors include DN Capital andKPCB.