Soundcloud's bleak future appears to have taken a u-turn after Chance the Rapper asserted that the audio streaming site was "here to stay" following talks with one of its founders.
Earlier this week the company laid off around 40% of its staff and closed offices in London and San Francisco. This was coincided by grim statements from the co-founders warning that they may not survive the end of the year.
However, Chicago artist Chance the Rapper tweeted that the struggling startup was here to stay" after a "very fruitful call" with chief executive and co-founder, Alex Ljung.
I'm working on the SoundCloud thing
— Lil Chano From 79th (@chancetherapper) July 13, 2017
Just had a very fruitful call with Alex Ljung. @SoundCloud is here to stay. — Lil Chano From 79th (@chancetherapper) July 14, 2017
Ljung reiterated the news in a blog post, as did prominent investor Fred Wilson of Union Square Ventures.
"There’s an insane amount of noise about SoundCloud in the world right now. And it’s just that, noise," Ljung wrote. "The music you love on SoundCloud isn’t going away... Not in 50 days, not in 80 days or anytime in the foreseeable future."
Now link me to a song on @SoundCloud that you swear you're responsible for like atleast a thousand plays
— Lil Chano From 79th (@chancetherapper) July 14, 2017
@ an artist who you wouldn't know if not for @SoundCloud — Lil Chano From 79th (@chancetherapper) July 14, 2017
Earlier this year Soundcloud attempted to secure its future with the introduction of programmatic offerings intended to make it more attractive to advertisers.
Ljung revealed that the company doubled its revenues in the last year and said the company would focus on advertising and subscription streams while continuing to focus on helping artists and creatives.