Sweden’s music streaming giant Spotify acquires Parcast, a Los Angeles-based podcast storytelling studio

Sweden’s music streaming giant Spotify acquires Parcast, a Los Angeles-based podcast storytelling studio

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Spotify appears to be on a podcast acquisition spree. On Tuesday, the Sweden-based popular audio streaming subscription giant has announced its third acquisition since the advent of 2019. The latest acquisition from the company is Parcast, a premier storytelling-driving podcast studio. For now, the exact amount involved in the acquisition remains undisclosed. The transaction is expected to be closed in the Q2 subject to customary conditions.

Parcast was founded in 2016 by Max Cutler in Los Angeles. It currently has a couple of studios and employs nearly 20 people. It has helped create 18 podcast shows such as Female Criminals, Serial Killers, Unsolved Murders, Cults and Conspiracy Theories and Mind’s Eye, its first fiction series.

Spotify is a popular music streaming service founded in 2006 by Daniel Ek and Martin Lorentzon in Stockholm. The company has expanded its presence across several global countries.

Curated library of Parcast

After the acquisition, Parcast will bring its curated library of highly produced shows and loyal base of audience to Spotify. The American podcast studio has expertise in mystery, science fiction, history and crime genres. It has already proven its ability to develop audiences across a robust network. Parcast has lined up over 20 new shows to be launched later this year.

Beneficial to both companies

With the acquisition of Parcast, the Swedish audio streaming service will have access to more resources to produce a library of shows that are not found elsewhere. It lets Spotify come up with more original non-music content. Also, Parcast will get access to the massive user base of Spotify with 100 million users. Also, it can get more than tens of millions of users via advertisements.

Previous acquisitions of Spotify

As mentioned above, this is the third acquisition of Spotify in 2019. This deals comes soon after the acquisition of Gimlet Media and Anchor made by Spotify in February this year. The former specialises in creating original content while the latter is involved in distributing and monetising content.

“The addition of Parcast to our growing roster of podcast content will advance our goal of becoming the world’s leading audio platform,” said Dawn Ostroff, Spotify Chief Content Officer. “Crime and mystery podcasts are a top genre for our users and Parcast has had significant success creating hit series while building a loyal and growing fan base. We’re excited to welcome the Parcast team to Spotify and we look forward to supercharging their growth.”

“In three years, we have created a production house that has grown exponentially and hit a chord with mystery and true-crime fans, especially women, across all 50 states and around the world. We are proud to join the world’s most popular audio subscription streaming service and gain access to one of the largest audiences around the world,” said Max Cutler, Founder and President of Parcast. “Alongside Spotify, our ability to scale, grow and amplify the unique and tailored brand of content we create is full of fantastic possibilities.”

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