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Beats Music is reportedly raising more money to keep up with Spotify

Above: Dr. Dre, co-founder of Beats Music.

Image Credit: Jason Persse/Flickr

Mark your calendars: The day has come when some Scandinavian nerds are the cool kids and Dr. Dre is struggling to keep up.

Adoption of Dre and Jimmy Iovine’s Beats music-streaming service, Beats Music, has disappointed some people inside the company, and it’s now raising more money, according to a report today from Billboard.

Beats Music is now working on a new funding round worth $60 to 100 million, if the report is correct. That would be on top of a funding round of the same exact size that had closed earlier and was reported just last month.

The reported dash for cash comes as Beats Music has struggled to bring on hordes of users since debuting in January. The company goes up against several others that let people listen to music online, including Pandora, Rdio, Songza, and, perhaps most prominently, Spotify.

Spotify is rapidly approaching an initial public offering, most recently accepting a $200 million line of credit, according to one report. Access to such vast capital could help the company keep pulling in people and gradually getting them to pay.

Spotify claims more than 24 million active users in the past 30 days, and more than 6 million paying subscribers. Beats Music, by contrast, now has millions of users and a subscriber count in the low six figures, Billboard reported.

Beats Music did not immediately respond to VentureBeat’s request for comment.

The company spun out of headphone manufacturer Beats Electronics last year with a $60 million investment.

More information:

Beats Music is a music streaming service spun out of Beats Electronics and into its own company in early 2013. The core experience will be centered around curated playlists created by musicians and music writers. It is currently in pri... read more »

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