SoundCloud Co-Founder releases official statement regarding foreclosure

SoundCloud has come under an astronomical amount of fire in recent months due to reports that it may cease to exist in the near future. News recently broke this week when it was announced that the popular streaming service cut 40 percent of its staff, and closed its San Francisco and London offices, in an attempt to compete with streaming giants such as Spotify and Apple Music. The news comes after the company posted a whopping $US52 million loss in 2015. It was also announced that the company only had approximately 50 to 80 days remaining before shutting down.

In an attempt to silence rumours, co-founder Alexander Ljung issued a statement on the streaming platform’s blog explaining that despite reports, the streaming service is here to stay. Alex explains that the rumours are simply “noise” and that “the music you love on SoundCloud isn’t going away”. Just one day later, the following tweet was posted on the streaming platform’s official Twitter page.

Recent reports suggest there is a possibility that Chance The Rapper could potentially buy out the struggling company. A”very fruitful call with Alex Ljung” and recent tweets from the Grammy Award-winning artist also surfaced. SoundCloud also verified that Chance talked with Ljung “to inquire about the rumours and speculation circulating” and confirmed that “SoundCloud is here to stay.” However, the company hasn’t provided details on how it plans to stay afloat.

SoundCloud’s contribution to the music scene has been astronomical. The platform has always promoted independent artists and gives them a place to promote their music without having to pay to appear on services such as Spotify or iTunes. Chance The Rapper even released his ‘Coloring Book‘ album for free on SoundCloud after a short stint with Apple Music.

Amid circulating rumours, read Alex Ljung’s statement below.

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