After meticulously analysing the data of Shazam, EU (European Union) has finally approved the Apple’s takeover of the popular music streaming app. EU clarified that the acquisition would not reduce (destroy) the competition for other prominent music applications.
The deal is expected to hit a massive $400 million spot which is undoubtedly a great news for top mobile app development companies. And why it wouldn’t? Afterall, if an initial development cost of $50k and the marketing and employment expenses in the later phases gives big returns, turning ideas into reality doesn’t seem like a futile activity.
The EU has its own competition court which keeps a track and regulates gigantic acquisition, so the small players don’t get veiled by tech-giants. In other words, the EU competition court encourages a healthy terrain for similar kinds of applications.
EU competition commissioner Margrethe Vestager said that the Data is the most important and powerful resource in the digital economy. And hence, they have to attentively observe each competition which includes acquisition of gigantic sets of crucial customer data.
Acquisition of a large amount of data may harm competition. They went into the thorough investigation and figured out that Shazam’s data, if acquired by Apple, wouldn’t negatively affect the competition.
Kicked off back in 1999, Shazam recently became profitable. It was started with a unique idea to recognize a song playing on any device as a background music. It then identifies it and put the appropriate name tag on it. Last year, Shazam reached to 1 billion subscribers. Apple expects to boost the numbers of its current 50 million paid subscribers with the new acquisition.
So App Store users, stay ready to access more new features in Apple’s Music app as soon as the acquisition takes place. On the other hand, Play Store users are now able to go anonymous with the inception of Tor Browser.