How SoundCloud’s broken business model drove artists away

Some industry executives believe SoundCloud was ultimately outmatched by larger, savvier players. “In my opinion, they bit off more than they could chew,” says Nick Catchdubs, co-founder of the label Fool’s Gold. “Spotify spent a decade turning streaming subscriptions into a consumer product, and Apple literally invented the modern digital music store years before that. So I don’t know how anyone could think SoundCloud could pivot from DIY, user-uploaded content to a functional (let alone competitive) retail service overnight. And the change disregarded what made people mess with SoundCloud in the first place… it tried to be all things to all people, yet the end results were alienating on all sides.”



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