First it was Vine and now SoundCloud could possibly be next. Reports from TechCrunch state that the company only has enough money to fund them until the fourth quarter, which starts in 50 days. During a conference, Founders Eric Wahlforss and Alex Ljung allegedly told the current staff that the streaming service only has enough money to make it to “until Q4” — or for another 50 days.
Just last week, SoundCloud cut off 40% of it’s staff and Alex Ljun stated, “By reducing our costs and continuing our revenue growth, we’re on our path to profitability and in control of SoundCloud’s independent future.”
TechCrunch also reports that a couple employees were discouraged by the meeting and do not feel confident about the current situation, “Eric [Wahlforss] said something about the SoundCloud ‘family,’ and there were laughs. You just fired 173 people of the family, how the fuck are you going to talk about family?”
However, the company is currently talking to investors by who knows how long it will last. For all the SoundCloud artists out there, start grinding for the next 50 days or signup at your new favorite streaming service Zambah.