Looks like CBS is paying more than $280 million for Last.fm—a lot more. According to paperwork unearthed by Music Ally, the scrobbling boondoggle clocked a sizable £2.84 million ($4.4 million) loss last year. And that follows year-2008 losses of £17.1 million ($26.7 million).
And, this a gift that keeps on taking: net liabilities reached £22.24 million ($34.71 million) last year, though CBS will “make available such funds as are needed," ie, pick up the tab.
Of course, the original founders profited handsomely, but looks like this could be very difficult property to scale. But CBS is certainly trimming with a passion. Last year, expenses were nearly five times as large, though shifts away from on-demand gratis streaming and certain territories were required.
A slimmer headcount has also reduced the overhead. In 2009, Last.fm counted 55 employees, down from 79 in 2008.
