Music streaming giant Spotify has announced that it is set to acquire Findaway, a global leader in digital audiobook distribution for an undisclosed price.
Findaway works across the entire audiobook ecosystem with a platform and offerings that serve authors, publishers, and consumers of this rapidly growing industry, which is expected to grow from $3.3 billion to $15 billion by 2027.
"It's Spotify's ambition to be the destination for all things audio both for listeners and creators. The acquisition of Findaway will accelerate Spotify's presence in the audiobook space and will help us more quickly meet that ambition," Gustav SAderstrAm, Spotify's Chief Research and Development Officer, said in a statement.
With this new acquisition Spotify will accelerate its "entry into the audiobook space."
"We are excited to combine Findaway's team, best-in-class technology platform, and robust audiobook catalog with Spotifya¿s expertise to revolutionize the audiobook space as we did with music and podcasts," SAderstrAm added.
Findaway's technology infrastructure will enable Spotify to quickly scale its audiobook catalog and innovate on the experience for consumers, simultaneously providing new avenues for publishers and authors to reach audiences around the globe, the company claims.
The company plans to sell individual audiobooks to free and paid users and allow authors and publishers to use another payment processing platform and keep the sales.
Riding on its India performance and resumption of marketing activity in the country, Spotify recently reached 381 million monthly active users (MAUs) in its third quarter (Q3), a 19 per cent growth (on-year).
The growth was "aided by the resumption of marketing activity in India along with above-plan growth in the Philippines and Indonesia," the company said.
This quarter, Spotify added several major promotional partnerships, including OnePlus (Spotify preloads on OnePlus mobile devices in India with 3 or 6 month trials and a limited offer of 12 month trials to OnePlus Red Cable Club members).
At the end of Q3, it had 3.2 million podcasts on the platform (up from 2.9 million at the end of Q2).