Cumulus Takes Large Stake in Rdio, Will Receive Equity Stake in Pulser Media
Cumulus Media Inc.(Nasdaq: CMLS) and Rdio announce a powerful content, promotion and advertising partnership that provides listeners with a one-stop solution for their audio needs while offering advertisers new opportunities to engage with consumers.
The strategic partnership will provide Cumulus with a financial interest in the larger digital music ecosystem and allows Rdio to launch free, ad-supported products in the United States while accelerating the activation of new users and subscribers.
Cumulus will obtain a significant equity stake in Pulser Media, Rdio's parent company, in exchange for exclusive content, media and on-air promotional commitments over a five year period. In addition, Rdio will leverage the Cumulus sales infrastructure to monetize its upcoming ad-supported free products, including music on-demand, custom playlists and exclusive content curated by Cumulus.
Available in over 30 countries, Rdio is the digital music service founded by the co-creator of Skype. On Rdio, music fans discover, play and share more than 20 million songs and build a digital music collection that's available to stream on the web, on mobile and offline. Rdio offers listeners an ever-growing catalog and an endless variety of passive listening options, including personalized radio stations. The New York Times has recently called Rdio its "go-to music app" for its "beautiful design and user interface," while Mashable has lauded it as the "music discovery version of a candy store."
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