Indie-Music.com Home

Pandora Files for IPO, But Can It Ever Make Money?
Date: Monday, February 14, 2011 @ 16:32:02 UTC

Online-music service Pandora Media filed its much anticipated IPO, which gives us our first public glimpse at the company's business plans and successes. First, the good news. Pandora's revenue has sharply ramped up in the last couple of years. Revenue shot up from $19.3 million in the fiscal year ended Jan. 31, 2009, to $55.2 million for the next fiscal year. For the nine months ended Oct. 31, Pandora posted another huge revenue jump to $90.1 million. More than 85% of Pandora's revenue comes from advertising, with the bulk of the rest from subscriptions that Pandora sells for ad-free streaming music. But wow. Content acquisition - what Pandora pays for the rights to songs - is costing them a fortune. That's the (very) bad news. Complete Article







This article comes from Indie-Music.com
http://www.indie-music.com

The URL for this story is:
http://www.indie-music.com/modules.php?name=News&file=article&sid=9942