Rdio's got that shine that attracts investors, but is this a horse that'll still be trotting in five years? Well, the guys at Mangrove Capital Partners think so. The Luxembourg-based VCs are the latest to plunk down on Rdio, according to details confirmed by partner publication paidContent. The tip-off was an off-the-cuff tweet by Mangrove cofounder and managing partner Mark Tluszcz. But Mangrove isn't disclosing the amount.
Actually, the tweet was sent to MC Hammer, himself a digitally-savvy fellow. “@MCHammer check out the company I just financed.... www.rdio.com. Hope to see you at our Jamboree this year in Florence," the tweet relayed.
This is another nice development for Rdio, which recently sealed a licensing deal with Merlin. And, the company just integrated itself into Sonos systems. Still, the lingering concern is subscribers, ie, low subscriber rates. Those tied into this startup have pointed Digital Music News to only modest initial traction, though Rdio has refused to disclose any figures (of course). The big question now is whether the music subscription space can ever scale, and if so, if Rdio can distinguish itself in a very crowded field.
