Spotify opens on NYSE, valuing company at almost $30B

Re:Spotify opens on NYSE, valuing company at almost $30B by bogomipz on Tuesday April 03, 2018 @05:23PM (#16749427)

Well there's no such things a "major record label" anymore. When people say "the Big 3" each of those three is global conglomerate. The result of years and years of consolidation.

Using the smallest of these 3 Time Warner Music Group, the company did $2.87 billion in revenue in 2013[1].

Let's say that Warner was actually interested in a sale. Let's say that the multiple they were looking for was 5x. Where is Spotify going to get the 15 billion dollars for that sale? Certainly not from this direct listing. And even if they had that cash what happens when you buy a 3,500 employee mega corporation? You actually have to run it and run it well.

[1] https://en.wikipedia.org/wiki/Warner_Music_Group

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Re:Spotify opens on NYSE, valuing company at almost $30B by indemnity on Tuesday April 03, 2018 @11:56PM (#16751762)

Wow, the big three put together did a laughable amount of revenue compared to an average tech major, surprised they haven’t been bought yet.

Where does the fear of these labels come from?

Why doesn’t someone just buy them for the catalog, and fire everyone in the dying parts of the business?

De-risk your revenue model, and gain leverage vs other streaming services.

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