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Sega is pursuing an effort to expand into the broader entertainment business. That has led the company to invest in Flutin, an Indian music-discovery startup service. Flutin uses data to surface new musical artists based on various factors. This is important for Sega, because indie music is especially popular in Japan.
With Sega as a partner, Flutin will work to reach out to more music fans. Streaming music is growing in popularity in India, and the app wants to continue to grow in its home territory. But it also wants to establish the app in markets like the United States and Japan.
“Investing in Flutin is part of Sega’s effort to advance into the music industry,” Flutin founder and chief executive Vishu Gupta said in a statement. “They believe in us because of the approach we are taking in supporting emerging musicians and providing them substantial tools to grow their fanbase.”
Gupta says that 63% of Japanese music revenue comes from indie artists.
“Sega understands that this will be reflected globally in a few years,” said Gupta. “They believe that platforms like Flutin that support emerging artists and help surface new talent in the industry are going to play a vital role in the next wave of change in the music industry.”
Sega says this is all part of its current strategy of approaching entertainment with a broad view. It wants to seek investment opportunities within and beyond video games.
“In markets like India and in areas like streaming music and music-based mobile apps, we see a great potential for growth and innovation,” Sega investment boss Toshihisa Kiyomiya said. “Which is why we’re excited to support Flutin as it continues to create value for musicians and music lovers worldwide.”
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