Amazon.com to invest $5bn in digital asset investor and digital music producer 3DCOVA
2/7/2018 11:59:07 Amazon has acquired digital music platform 3DVO, which operates in the United States and Canada.
3DcoVA, founded in 2013, provides digital music and other services to music fans and labels.
3dcova’s business model is to pay for the artists to release their music, but it has been a struggle to attract artists to use its service, which requires them to pay artists to produce their music.
Amazon has also acquired a smaller music publishing company, Digital Music Group, which was founded in 2014.
3M is also an investor in 3DCoVA.
3DM announced the deal on Wednesday.
The acquisition brings 3D COVA’s total assets to $17 billion, which makes it one of the biggest digital music platforms.
3MD is a unit of 3D Co-op, which owns Spotify, Pandora and other music services.
3DOVA is owned by New York-based 3D Digital Capital, which is also owned by 3D.
“With this acquisition, we’re further strengthening our digital music business, which continues to grow at a strong clip,” said Kevin Lacey, chief executive officer of 3DO.
“We’re excited about 3D’s ability to help us continue to scale and grow our business.”
3D co-founder and CEO James O’Leary, who was previously the chief executive of a digital music service, said the deal was part of his company’s efforts to expand its digital music offerings.
“The combination of Amazon and 3D means 3D will now be able to provide a seamless experience for artists and labels,” said O’Leary.
“They’ll be able more easily get the music they want from the service.
3 DOVA’s founders will be able continue to focus on expanding their business and growing the business of 3 DOVAs music business.”
The purchase of 3d will also give Amazon access to a substantial amount of revenue from 3D music streaming, said Lacey.
“3DCOVA is a fantastic asset for our company,” said LACON CEO Michael Gartenberg.
“Their service has been one of our most valuable assets for several years now, and we are excited to join forces with them to expand the services we provide to artists.”
Amazon is not the only company to invest in 3DOVA.
Earlier this month, Netflix and Google announced a $1 billion investment in the company, which also serves as the platform for Google’s search.
“Amazon is one of many major music publishers who have invested in 3 DOVO as part of our ongoing investment in digital music,” said 3DO VP of digital media and content Matt Leckey.
“Our team is already working closely with them on the next phase of their growth and our vision is to create a platform for artists to be able share their music with fans and to be the ultimate destination for digital music.”
Amazon has previously been known to invest heavily in streaming music services, including Pandora and Spotify.
Last year, the company bought Beats for $3.3 billion.
3DoVA will remain a part of Amazon’s music business.
The company has recently announced it is expanding its music business to include digital video.
In June, Amazon bought the rights to stream content from YouTube, which includes more than 30 million videos and a variety of content.
It is also looking to add more content to its own video service.