Spotify Buys SoundBetter, a Music Production Marketplace

Spotify has acquired music production marketplace SoundBetter, the music streaming service said on Thursday, without disclosing terms of the transaction. New York-based SoundBetter will become part of the Spotify for Artists feature, which provides insights, profile management and promotion tools to artists and their teams, the Swedish company said.

SoundBetter's platform allows hiring of musicians, audio engineers, producers and songwriters. The company was formed in 2012 and has over 180,000 artists registered on its network, according to the statement.

Spotify's monthly active users, which included its ad-supported free version, surged 29 percent to 232 million people in the second quarter.

“As we build out our tools for creators, we want to give them the resources they need to thrive. SoundBetter has the same vision,” said Beckwith Kloss, VP Product, Creator at Spotify in a statement. “We're excited that creators can generate income through SoundBetter, as well as benefit from its network of top professionals - from instrumentalists to songwriters to producers - as they perfect their tracks.”

“SoundBetter offers the most comprehensive global marketplace for music and audio production professionals for hire in the world along with a member community spanning 176 countries and 14,000 cities worldwide,” said SoundBetter Co-Founder and CEO Shachar Gilad in a statement. “We are excited to benefit from Spotify's global scale, resources, and vision to expand our network and drive more economic opportunities for artists of all levels.”