SoundCloud is Losing Money

SoundCloud LogoWhen you think of SoundCloud, the thing that probably comes to mind first is music. In addition, there are quite a few podcasts that are hosted directly through SoundCloud. The 405 has reported that SoundCloud is losing money. What could this mean for the podcasters who have shows on SoundCloud – and nowhere else?

The 405 reports that “sources” and “insiders” are saying that SoundCloud is losing money. This isn’t just a dip in profits, either. It is a significant amount. Part of the problem appears to involve the big music labels. Sony and UMG have threatened to sue SoundCloud. WMG has reached some sort of deal with SoundCloud. In short, it seems that SoundCloud has been forced to spend money on lawyers.

One thing that could help SoundCloud is a subscription tier service. This is something that SoundCloud has previously announced. Cofounder and CTO of SoundCloud, Eric Wahlforss, confirmed that the subscription tier service would launch later in 2015.

So far, the cost involved with the subscription tier service has not been revealed. There is no way to know for certain if the subscription tier plan will be popular enough to improve SoundCloud’s financial situation.

What does this mean for podcasters who currently have their shows hosted on SoundCloud? If your podcast is only available on SoundCloud, now would be a good time to start migrating it over to somewhere else. Make a website for your show, post your episodes there, and connect with a good podcast hosting company. Doing so will prevent the problem of having all your podcast episodes disappear if SoundCloud ceases to exist.