SoundCloud's struggles have been well publicized over recent months.
However, the new round of investment - which includes contributions from NY financiers The Raine Group and Singaporean company Temasek - represents the largest funding boost in the company's history, and should at least alleviate some of its woes as it looks for more ways to monetise its 40 million-strong user base, Ljung said in a statement. The company outlined the investments in a blog post, while it also announced that former Vimeo executive Kerry Trainor will be taking over as CEO...
"The investment will ensure a strong, independent future for SoundCloud, funding deeper development and marketing of its core tools used by millions of audio creators", said a representative for SoundCloud.
SoundCloud was launched in 2008 and has never said how many paying subscribers it has, but launched a budget subscription package for hoping that will have more listeners to convert from its free service, which that also did not do well.
"All of this together - the capital, the capital partners - with Kerry and Mike joining our team - it puts our company in a really great position to stay strong and remain independent", Ljung told Billboard. Although Ljung has been the CEO and chairman of the company for almost a decade, the founder will now simply just oversee the company as a chairman.
"As a huge fan of the SoundCloud platform since its founding, I deeply admire what Alex and Eric have built", said Trainor.
SoundCloud last reported about 170 million users and saw significant increases in creator subscriptions, uploads, listening time and listener subscriptions over the past 12 months.