Apple has finalized a deal to acquire Shazam, the company behind a popular music-recognition application/service.
TechCrunch first reported of the deal late last week, and Recode said the deal values Shazam about $400 million, noting that it’s a steep discount when comparing it to the $1 billion valuation that Shazam enjoyed following its last round of funding.
Snap, an integration partner of Shazam's, was also angling to acquire the company, Recode said.
Shazam, founded in 1999, has raised about $143 million, according to CrunchBase.
Apple hasn’t detailed its plans for Shazam other than to note that it will be a “natural fit” with the Apple Music service.
“We are thrilled that Shazam and its talented team will be joining Apple,” Apple said in a statement to multiple media outlets. "Apple Music and Shazam are a natural fit, sharing a passion for music discovery and delivering great music experiences to our users. We have exciting plans in store, and we look forward to combining with Shazam upon approval of today’s agreement."
In addition to being integrated with Apple Music, Recode reckoned that the tie-up will also “take away referrals” rival streaming music service Spotify.
Shazam also has also done some work in the TV world, working with networks such as Bravo, and was tied into a shop-by-TV tilt in 2015 for the Super Bowl XLIX half-time show.