7digital

7digital Group Plc
Company typePublic – LSE: 7DIG
IndustryB2B Music Technology Services
FoundedJanuary 2004
Headquarters69 Wilson Street, London EC2A 2BB,
London
,
United Kingdom
Number of locations
5
Area served
20 countries (August 2023)
Key people
Paul Langworthy (CEO)
Michael Juskiewicz (CFO)
Samantha Sawyer (CCO)
Jon Hilbrants (CCO)[1]
ServicesWhite-label music solutions, API, music download stores, production, streaming music services, radio services, voucher promotions, loyalty schemes
RevenueEUR 6.69 million (2021)
OwnerSongtradr
Number of employees
70
SubsidiariesEntertainment News, Unique The Production Company, Smooth Operations, Unique Interactive, Above The Title
Websitewww.7digital.com

7digital Group PLC is a British publicly listed company that offers access to music, tracking and reporting for clients. London-based, 7digital provides end-to-end music services for the fitness, social media, DSPs, and gaming industries with brands such as Barry's and Triller.[2][3] Advertising Age described 7digital (Zdigital in Australia) in 2008 as a British download store,[4] while the New York Times referred to them as a digital music company.[5][6] 7digital's Smooth Operations, Unique Production and Above the Title companies are now branded 7digital Creative, and produce content for BBC Radio 1, Radio 1Xtra, BBC Radio 2 and BBC Radio 3.[citation needed] In 2009 HMV bought 50% of 7digital.[7] In 2019, the company replaced their second CEO,[1] Simon Cole,[8] who had replaced founder/CEO Ben Drury.[5] In February 2023, it was announced 7digital had been acquired by the Santa Monica-headquartered B2B music licensing company, Songtradr.[9]

Overview

Initially their API was used by Guvera, Onkyo, Samsung, BlackBerry, HMV, musical.ly (now TikTok) and Technics. They subsequently partnered with Triller, FORME Life, Soundtrack Your Brand, Global Eagle, Grandpad, Apex Rides, and Fender.

History

2004–2009

7digital was founded in 2004 by Ben Drury and James Kane[10] as a B2B digital music services company, building music download stores for record labels, brands and other retailers. 7digital Direct to Consumer (D2C) service was launched in 2005.

7digital is backed by technology venture capital firm Balderton Capital (formerly Benchmark Capital Europe). On 28 January 2008, 7digital raised £4.25m in its series B investor round, securing investment from various groups including Sutton Place Managers. The investment was to be used to launch 7digital.com in more European countries and the United States,[11] along with expanding the sites offerings to include downloadable video and computer games.[12]

In September 2008, 7digital.com was the first company in Europe to launch DRM-free MP3 downloads with all four major record labels.[13]

As of October 2008, 7digital employed 45 people in London and had over 1.3 million registered customers.[14]

On 3 August 2009, HMV bought a 50% holding in 7digital from its venture capital owners.[15]

2010-2019

In 2011, 7digital expanded with an office in Luxembourg and in early 2012, they expanded to the US with an office in San Francisco, CA.[16]

In October 2012, 7digital secured $10 million in funding from two new investors,[17] Dolby and Imagination Technologies.[18] HMV's stake was previously reduced to less than 20%,[19] and following HMV entering into administration, retail restructuring specialists Hilco, are now the holders of these shares.

On 25 November 2013, UBC Media announced merger plans with 7digital by way of a reverse takeover.[20][21] The merger was completed in May 2014, forming 7digital Group Plc.[22]

The company entered a business relationship with MediaMarktSaturn in 2017, which it ended in 2019, in exchange for a cash payment of €4 million. The end of the partnership led to a need for 7digital to raise capital by the third quarter of 2019 to remain operational. The share price fell in response to these developments, with a loss of 63% on 9 April and further losses on 10 April 2019.[23]

Clients

7digital's agnostic platform is used for building products on any type of connected device.

  • Kuaishou: Kuaishou has multiple short video platforms and live broadcasts apps around the world including Kuaishou, Kuaishou Lite, Kwai, Zynn, and Snack Video[25]
  • Apex Rides: London-based Apex Rides, a smart bike and in-home fitness platform[26]
  • Triller: US-based short-form video sharing app (and TikTok rival)[27]
  • Onkyo: (June 2014)[33][34] The Onkyo Music service ceased operation on 6 October 2019.[35]
  • Samsung: for Music Hub version 1.0.[39] Replaced nu by 2.0 and 3.0 dependent on the territory that the handset was designated for. In 2012 with the launch of Samsung Galaxy S3 devices in Europe[40] and North America the Music Hub has begun to include subscription streaming alongside their music downloads. 7digital pre-install is also available on Samsung Galaxy S4.[41]

HMV

7digital is independent of their business since significant investment they received in 2012. Re-launched in October 2013, HMVdigital.com is a download store.[45]

Ubuntu One Music Store/Canonical

7digital collaborated with Canonical Ltd. to provide the Ubuntu One Music Store in the Ubuntu Operating System starting from Ubuntu 10.04.[46]

On 2 April 2014 Canonical announced the closure of all of the Ubuntu One file services.[47]

Spotify

Spotify users from the UK, France, Norway, Finland, Spain, The Netherlands and Sweden were able to purchase tracks to download (if available) from 7digital.[48] This was done by right-clicking and selecting the 'Buy From' link. However, Spotify launched their own purchase service during 2011 which replaced 7digital.[49]

Other

In October 2014, it was announced that 7digital would work with will.i.am[50] for his new wearable smart device.

In November 2014, 7digital partners Technics launched 'Technics Tracks', a new premium Hi-Resolution audio service.[51]

7digital.com

Alongside its B2B digital music services business, 7digital offers music tracks direct to consumers in MQA, MP3 320, 256, M4A, 16-bit and 24-bit FLAC audio.[52]

The 7digital mobile app has been pre-installed on devices through partnerships with Acer,[53] HTC,[54] Samsung, BlackBerry, Pioneer,[55] HP, Dell, and Sonos.

7digital's Indiestore launched in early 2006 and allowed unsigned artists and independent labels create their own digital music download store for free.[56] The Indiestore was discontinued in 2010.[57] 7digital directs independent artists to work with independent aggregators, where they will be able to service their music to a variety of music retailers.[58]

In December 2014, 7digital became the first music platform to adopt Meridian Audio's high-quality MQA format for streaming/downloads.[59]

Geographical availability

As of July 2015, 7digital operated in 82 countries.[60] On May 19, 2017, 7digital announced the sudden closure of its EU store,[61] though it continued to have stores for some individual European nations. As of 2023, the service is still available in 20 countries.

See also

References

  1. ^ a b "7digital group appoints Paul Langworthy to its board of directors as new CEO". 18 July 2019.
  2. ^ Ackerman, Naomi (9 July 2021). "7digital signs deals with Barrys and Volava as it pursues the home fitness market". The Evening Standard. Retrieved 9 July 2021.
  3. ^ Cirisano, Tatiana (12 August 2020). "Triller signs contract with 7digital, adding 80 million song catalog for users to soundtrack clips". Billboard. Retrieved 12 August 2020.
  4. ^ "Minor Chords". Advertising Age. 26 June 2008.
  5. ^ a b Helft, Miguel (6 June 2011). "Apple Unveils a 'Cloud' Music and Storage Service". The New York Times.
  6. ^ Sisario, Ben (29 May 2012). "Digital Notes: Samsung Music Hub Takes on Just About Everyone". Advertising Age. in partnership with another music company, 7digital
  7. ^ "HMV takes 50% stake in 7digital". BBC. 3 September 2009.
  8. ^ "Year End Trading update". 12 February 2018.
  9. ^ "Songtradr to acquire 7digital, a UK publicly listed B2B music technology company, in $23.4m deal". Music Business Worldwide. 8 February 2023. Retrieved 10 February 2023.
  10. ^ Barnett, Emma (9 October 2009). "7digital was always meant to be a complete media marketplace" – via The Telegraph.
  11. ^ "7digital Agrees Terms of $8.5 Million Investment to Capitalise on Rising Digital Media Demand" (Press release). 7digital. 28 January 2008. Archived from the original on 4 March 2008. Retrieved 25 February 2008.
  12. ^ Gibson, Owen (28 January 2008). "UK iTunes rival 7digital to hit US and Europe". The Guardian. London. Archived from the original on 29 January 2008. Retrieved 25 February 2008.
  13. ^ Schofield, Jack (16 September 2008). "7digital brings more DRM-free MP3 music downloads to the UK". The Guardian. Retrieved 2 December 2014.
  14. ^ "7digital Group Plc – story of the company". Reshenia. Retrieved 2 December 2014.
  15. ^ "HMV takes 50% stake in 7digital". BBC. 3 September 2009. Retrieved 2 December 2014.
  16. ^ Houghton, Bruce (6 June 2012). "7digital Expands U.S. Team With Key Hires From eMusic, Apple, IODA, Rightsflow". hypebot.com. Retrieved 2 December 2014.
  17. ^ "Music Platform 7digital Nabs $10 Million in Funding To Expand Its Profitable Activities". Retrieved 31 December 2014.
  18. ^ Lunden, Ingrid (25 November 2013). "Samsung's Music Partner 7digital Picks Up $1.6M Loan, Enters into Reverse Takeover Talks With UBC". TechCrunch.
  19. ^ "7digital boss says HMV administration will not affect business". Retrieved 31 December 2014.
  20. ^ "UBC Media to buy 7digital Group". Yahoo! Finance. 25 November 2013. Archived from the original on 29 November 2014. Retrieved 2 December 2014.
  21. ^ Deans, Jason (25 November 2013). "7Digital lines up reverse takeover of UBC Media". The Guardian. Retrieved 2 December 2014.
  22. ^ Cooke, Chris (21 May 2014). "7digital merger with UBC complete". Complete Music Update. Retrieved 2 December 2014.
  23. ^ Sanchez, Daniel (10 April 2019). "7digital Death Watch – Company Warns Against Raising Desperately-Needed Capital". Digital Music News.
  24. ^ Dredge, Stuart (9 July 2021). "7digital signs deals with Barry's and Volava as it pursues home fitness market". Evening Standard. Retrieved 9 July 2021.
  25. ^ Dredge, Stuart (12 March 2021). "Kuaishou has 305m daily users and now licensed music too". Musically. Retrieved 12 March 2021.
  26. ^ Dredge, Stuart (9 September 2020). "Apex Rides hopes to take on Peloton and it's licensing music". Musically. Retrieved 9 September 2020.
  27. ^ Summers, Murray (12 August 2020). "TikTok Rival Triller Inks Deal with B2B Music Company 7digital for Access to Global Catalog of 80M Tracks". Music Business Worldwide. Retrieved 12 August 2020.
  28. ^ Dredge, Stuart. "Musical.ly Strikes Deal With 7digital". Music Ally. Retrieved 6 May 2016.
  29. ^ Washenko, Anna. "7digital to power eMusic". Retrieved 21 January 2016.
  30. ^ Malt, Andy (11 June 2014). "Guvera partners with 7digital". Retrieved 2 December 2014.
  31. ^ Peoples, Glenn (31 July 2014). "Guvera Follows Spotify, Others into Asia". Billboard. Retrieved 2 December 2014.
  32. ^ Cooke, Chris (10 November 2014). "Guvera launches in India". Complete Music Update. Retrieved 2 December 2014.
  33. ^ Cox, Joe (2 June 2014). "Onkyo and 7digital to Launch high-res Music Store in Europe and US". Whit Hi Fi. Retrieved 2 December 2014.
  34. ^ Cox, Joe (2 June 2014). "Onkyo and 7digital to launch high-res music store in Europe and US". What Hi-Fi.
  35. ^ "Onkyo Music". Onkyo Music.
  36. ^ Stassen, Murray (30 September 2014). "7digital pens deal with Spanish Broadcasting System for radio streaming platform LaMusica.com". Music Week. Retrieved 2 December 2014.
  37. ^ Keach, Sean (20 November 2014). "Technics launches 7Digital powered hi-res music service". Trusted Reviews. Retrieved 21 September 2015.
  38. ^ "Technics TRACKS | Technics Deutschland & Österreich". www.technics.com. Archived from the original on 15 September 2020. Retrieved 11 November 2019.
  39. ^ Summers, Nick (15 March 2013). "Open music platform firm 7digital to power the Music Hub app on Samsung's Galaxy S4". The Next Web. Retrieved 2 December 2014.
  40. ^ Owen, Ed (2 August 2012). "7Digital and Samsung Team Up for Free Music Streaming". Mobile Marketing. Archived from the original on 4 November 2013. Retrieved 29 May 2013.
  41. ^ Pakinkis, Tom (15 March 2013). "7digital to be pre-installed on Samsung Galaxy S4". Music Week. Retrieved 29 March 2013.
  42. ^ Santos, Alexis (18 October 2012). "RIM taps 7Digital to power official BB10 music store". Engadget. Retrieved 2 December 2014.
  43. ^ "BlackBerry and 7digital strike deal to launch new music service". The Guardian. December 2014.
  44. ^ "RIM taps 7Digital to power official BB10 music store". Engadget. December 2014.
  45. ^ "7digital to power HMV's digital music services in Canada". Music Week. December 2014.
  46. ^ "UbuntuOne Music Store: How a music service should be". Tech Republic. December 2014.
  47. ^ Silber, Jane (2 April 2014). "Shutting down Ubuntu One file services". Canonical. Retrieved 2 December 2014.
  48. ^ MacLean, Allan (11 April 2009). "Spotify's free music model — binge until your ears are fat!". Daily Music Guide. Archived from the original on 29 April 2009. Retrieved 16 April 2009.
  49. ^ "7digital Founder: Spotify has been planning its own download service for over a year". The Next Web. December 2014.
  50. ^ White, Anna (12 October 2014). "Will.i.am to go head to head with Apple in smart watch battle". The Telegraph. Retrieved 2 December 2014.
  51. ^ http://about.7digital.com/news/technics-launches-%E2%80%98technics-tracks%E2%80%99-new-premium-hi-resolution-audio-service%7Cdate=November Archived 4 March 2016 at the Wayback Machine 2014
  52. ^ Lamkin, Paul (10 August 2011). "7digital targets audiophiles with FLAC Format downloads". Pocket-lint. Retrieved 2 December 2014.
  53. ^ Sawers, Paul (10 December 2012). "7digital's MP3 download app will come pre-installed on Acer's Windows 8 machines". The Next Web. Retrieved 2 December 2014.
  54. ^ Murphy, David (19 April 2013). "7digital Apps Gets HTC One Preload". Mobile Marketing Magazine. Retrieved 2 December 2014.
  55. ^ "7digital Brings High Quality Music into the Dashboard Through the Pioneer AppRadio Platform". Reuters (Press release). Racepoint Group UK. 5 December 2012. Archived from the original on 29 November 2014. Retrieved 2 December 2014.
  56. ^ Hartley, Adam (5 June 2008). "Unsigned indie bands find fame with 7digital: 7digital's indiestore features over 50,000 indie artists". TechRadar. Retrieved 2 December 2014.
  57. ^ "More free mp3s". 15 January 2011. Archived from the original on 11 December 2014. Retrieved 11 December 2014.
  58. ^ "Unsigned indie bands find fame with 7digital". 5 June 2008.
  59. ^ "7digital announces high quality audio strategy with new Meridian MQA format". December 2014.
  60. ^ Stassen, Murray. "7digital inks Pan-African deal with SA collection society CAPASSO". Music Week. Retrieved 21 July 2015.
  61. ^ [1][permanent dead link‍]

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