Google Inc. (NASDAQ:GOOG) announcing it is acquiring the much loved music service Songza has elicited mixed reaction from analysts on the Wall Street, considering that a similar service has been offered for the past ten years by Pandora Media Inc. (NYSE:P). Colleen Taylor a TechCrunch reporter in an interview on CNBC reiterated that Google might be too late in the space.
She believes that if Google Inc. (NASDAQ:GOOG) wanted to make a statement they could have bought Spotify or Pandora, which are much bigger in the music industry as opposed to the $15 million to $40 million they probably have paid for Songza.
“This is going to be a need add-on for Google’s existing services, but I really don’t think it is going to make a dent on its overall impact in the music market,” said Colleen Taylor.
Zack Greenburg, Forbes’ senior editor, also agrees it is too late but not too little considering Songza will now be backed’ by huge resources something that should increase its prospects for growth, compared to the likes of Pandora and Spotify. The fact that Songza relies heavily on the younger generation for growth, then there is no doubt that it could grow even further on the booming streaming industry.
In another intervention, also on CNBC, David Hirsch, a managing partner at Metamorphic Ventures, stated that Google Inc. (NASDAQ:GOOG) remains the best place for Songza team as the future is not about people finding things, but things finding people. Songza has done great job in bringing great content into the web, which is the next context of the web, despite being a smaller player compared to the likes of Pandora and Spotify.
“We think that Songza brings context and applies to Google Now personalization of Google Play. It is really about discovery, how do we discover the right content, the right commerce, the right activity, based on your human situation,” said Mr. Hirsch.