February 5, 2020
Spotify continues to feed its huge podcast hunger.
On the same day as announcing podcast consumption had grown almost 200% year-on-year, Spotify also announced the acquisition of Bill Simmons' podcast-focused media company The Ringer.
- Recode first reported the acquisition. Spotify CEO Daniel Ek told Recode: "With the Ringer, we're basically getting the new ESPN." (The deal's price is unclear, but reports last month said Simmons wanted $200 million.)
- It follows a $400 million podcast-buying binge from Spotify, which means it now owns Gimlet Media, Anchor FM and Parcast.
- The company also said on an earnings call Wednesday that, as well as huge growth in podcast consumption, it's "seen early indications that our investments in podcasts are having a positive impact on conversion of free to paid users."
- So don't rule out more podcast acquisitions. Speaking of his purchase of The Ringer, Ek told Recode: "If there are other deals of that caliber we would consider it."