Spotify has acquired SoundBetter, a marketplace for audio production professionals that connects musicians, producers, and content creators. Founded in 2012, SoundBetter has built a community of 18,000 professionals across 14,000 cities and 176 countries.

The acquisition aligns with Spotify's strategy to expand beyond music streaming and enhance its Spotify for Artists platform. Through this purchase, Spotify aims to:

• Provide creators with additional resources and income opportunities
• Build a network of professional collaborators
• Facilitate music creation directly through the Spotify ecosystem
• Strengthen its global presence against competitors like Apple, Amazon, and Google

This move follows Spotify's pattern of diversifying its business model beyond traditional streaming, similar to its previous investment in Distrokid and expansion into podcasting. The company seeks to reduce dependency on major label content by fostering direct creation through its platform.

"We want to give creators the resources they need to thrive," says Beckwith Kloss, VP Product, Creator at Spotify. SoundBetter co-founder Shachar Gilad adds that their platform is "the most comprehensive global marketplace for music and audio production professionals."

The integration details remain unclear, but Spotify's strategy appears focused on deepening engagement with musicians and audio professionals while potentially developing its own IP to reduce royalty costs.

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