French music service Deezer has a confirmed $130 million round of funding.
Rumors about this massive raise were circulated over the weekend, when the Parisian Daily Le Figaro reported the investment. Today, the company officially announced the treasure trove that will support the international expansion of its music subscription service.
Deezer’s inventory consists of 20 million tracks, which users can also download and listen to offline. The music is available on a range of devices, as well as more than 100 million member-created playlists. Discovery is a key component of the product, which not only facilitates content sharing, but also provides editorial recommendations.
According to a statement, Deezer’s impressive traction stems from high rates of engagement in international markets:
“Deezer’s sustainability is also the result of a strategy focused on growing markets rather than targeting the US where the competition intensity significantly increases customer acquisition costs.”
The 2 million subscribers actually generate revenue for the company, hence the hefty chunk of change from Access Industries. Partnership with Facebook and telecom companies like Orange and Telenor also contribute to its success. In addition to these paying folks, there are 7 million monthly active users and 26 million fans total.
This funding follows $6.8 million in 2007 and $12.5 million in 2008. It will accelerate Deezer’s 200 country roll out. Read more on VentureBeat.