SiriusXM Acquires B2B Music Platform Cloud Cover Music In Latest Diversification-Minded Play
SiriusXM (NASDAQ: SIRI) has officially acquired Cloud Cover Media, the company behind B2B music platform Cloud Cover Music.
The satellite-radio giant announced the purchase – one of several diversification-minded plays it’s spearheaded in recent months – via a general release. Said release doesn’t disclose the transaction’s financial specifics, but six-year Cloud Cover Music head Mark Lehman is set to continue leading the business-focused streaming service’s team.
El Segundo-headquartered Cloud Cover Music affords customers “a robust selection of ad-free music for their business with full control over what their customers and employees will hear,” according to the announcement message.
Additionally, the release indicates that the company “provides the soundtrack for a wide variety of commercial locations across the United States and Canada,” with Burger King, McDonald’s, Edible Arrangements, T-Mobile, Verizon, and Jos. A. Bank listed as clients on the Cloud Cover website.
Also per Cloud Cover’s website, the “music monthly plan” costs $17.95 per location when bought on a month-to-month basis, enabling subscribers to access “190+ clean stations” that receive “regular” updates. The B2B company likewise notes that it covers “your licensing fees with ASCAP, BMI, GMR, and SOCAN.”
Addressing the deal in a statement, Cloud Cover VP and general manager Mark Lehman indicated that his company boasts “tens of thousands of customers.”
“As one of the fastest growing music for business services, we’re proud of the track record that Cloud Cover Music has achieved with our tens of thousands of customers,” said the longtime exec Lehman. “We’re excited to have the brand recognition and strength of SiriusXM and Pandora behind us as we continue to focus on delivering the best music and messaging products for businesses.”
The Cloud Cover purchase arrives as SiriusXM looks to further diversify its offerings and expand “outside the vehicle,” having enlisted Dave Grohl, LL Cool J, Kevin Hart, and others to appear in a “multi-media national ad campaign” concerning this expansion last September.
October then saw the Stitcher, Pandora, and AdsWizz owner SiriusXM – over 80 percent of which belongs to Liberty Media, which hasn’t yet revealed its plans for the massive SPAC that it rolled out about one year ago – invest in scripted-podcast company Audio Up.
Similarly, 2021 saw SiriusXM ink noteworthy deals with SoundCloud and TikTok, kicking off 2022 with a dedicated David Bowie channel. At the time of this piece’s writing, SiriusXM stock (NASDAQ: SIRI, once again) was down about 3.85 percent from yesterday’s close, for a per-share price of $6.12. The figure nevertheless represents an almost five percent increase from mid-January of 2021.
