Samsung Electronics yesterday announced its plans to acquire mSpot, a US-based cloud music and media service provider.
The acquisition will arm Samsung’s mobile devices with mSpot’s music, video, and radio services as an integrated application.
"mSpot shares our vision to bring a best-in-class cloud and streaming entertainment experience to consumers, and they've backed it up with innovative technical solutions from a great engineering team," said TJ Kang, senior vice president of Samsung Electronics' Media Solution Centre, in a statement.
mSpot, which was founded in 2004, provides a music service that allows users to host songs on the cloud and then stream them onto their PCs, Android or iOS smartphones and tablets, or Google TVs. Each user receives 5 GB of free storage and can upgrade to 40 GB for $4 a month.
The company also touts a movie streaming and rental service through which users can simultaneously download and stream movies onto their PCs or mobile devices. Samsung, whose smartphone and tablet devices run exclusively on Android, did not disclose whether the company’s multi-platform support model would continue after the acquisition.
A Samsung spokesperson told CRN that "Samsung is currently discussing the details with the individual carriers and will share once they are ready to announce the launch of the full service."
The deal, either way, will broaden Samsung’s mobile app offering and ecosystem, a move that could give it a leg up in its neck-and-neck race for smartphone dominance against Apple. During its first-quarter earnings announcement last month, Samsung attributed its record quarterly profit of $US5.15 billion to strong sales of its flagship Galaxy S smartphones.
Though the electronics giant didn’t specify how many smartphones it shipped during the three-month period, research firm IHS iSuppli projected Samsung’s smartphone shipment number to be around 32 million units, compared to Apple’s 35 million.
Samsung said it is acquiring the full scope of mSpot’s technology, resources, and employees, but it did not disclose a purchase price.
This article originally appeared at crn.com
Issue: 315 | May 2013
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