Update: Apple has confirmed that it has acquired Shazam song recognition company. Spokespersons from both the companies in a statement to The Verge confirmed the acquisition.
Apple is in talks with Shazam Entertainment Limited, the company behind popular music identification application (for Android, iOS and Mac).
Apple is known for keeping its acquisition amount a secret however, a popular Technology News site TechCrunch reported that Apple could pay about US$ 400 million for buying Shazam. The deal is expected to be on papers by next week.
The so called figure is just 40% of the most recent valuation of Shazam, which PitchBook reported it to be of US$ 1 Billion.
In terms of finances, Shazam has raised $143 million form DN Capital Limited along with other entities like Institutional Venture Partners, Kleiner Perkins Caufield & Byers etc.
The UK based Shazam has close integration Apple’s AI assistant Siri. Apple users with Shazam App can simply ask Siri for the song name and get an answer.
With this acquisition, Apple hopes to strengthen its Music services and bring in new features directly into smartphones OS and services.
Apple spokesperson said,
“We are thrilled that Shazam and its talented team will be joining Apple. 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.”
Shazam spokesperson said,
“We are excited to announce that Shazam has entered into an agreement to become part of Apple. Shazam is one of the highest rated apps in the world and loved by hundreds of millions of users and we can’t imagine a better home for Shazam to enable us to continue innovating and delivering magic for our users.”