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Immersive music startup MelodyVR acquires Napster

The US$70 million deal will combine Napster's expansive library with Melody VR's catalogue of virtual live music shows

By IQ on 25 Aug 2020

The studio for Wireless Connect festival, set up in Alexandra Palace in London

The studio for Wireless Connect festival, set up in Alexandra Palace in London

image © Luke Dyson

Live music virtual reality platform MelodyVR is acquiring Rhapsody International, which operates as music subscription service Napster.

The US$70 million acquisition will eventually combine Napster’s library of over 90 million audio tracks and Melody VR’s catalogue of virtual live music shows, to create a platform where users can stream music and experience immersive live performances.

“For music fans today, live and recorded music are intrinsically linked. We are as keen to see our favourite artists perform live as we are to listen to their albums,” says MelodyVR CEO Anthony Matchett.

“Our purchase of Napster, one of the music industry’s original disruptors, is born out of our wish to deliver the world’s foremost music experience, available seamlessly across audio and visual media and in turn presenting a truly next-generation music service.”

Napster CEO Bill Patrizio commented: “This is a tremendous outcome for two organizations with complementary platforms and loyal audiences, and we could not be more excited to be moving forward as one company.”

“Our wish is to deliver the world’s foremost music experience… a truly next-generation music service”

“The product, technology and cultural synergies of Napster and MelodyVR will bring tremendous innovation for music lovers, artists and the entire music industry. Good things come from being together, and we look forward to creating a powerful platform that combines our strengths and offers an even wider range of content to consumers, creators and advertisers.”

The UK-based MelodyVR broadcast its first live concert in virtual reality in 2018 with Liam Payne in London, after releasing its app – touted as the world’s first dedicated virtual reality (VR) music platform – in 2019, and subsequently partnering with O2 in the UK.

Since Covid-19 hit the industry, the company has delivered a digital edition of Wireless festival in London and live music VR series, Live from LA, which has featured artists including Cypress Hill, Kesha, John Legend and Tori Kelly.

The shows were available to watch in 360° for free via the MelodyVR app and VR headsets.

MelodyVR and Napster, which is currently 84% owned by RealNetworks, will operate independently for the foreseeable future.

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