British music app shuts down after investor pulls funds

By VCPOST Staff Reporter

May 01, 2014 08:18 AM EDT, a music streaming app exclusive to the UK, has shut down after it was banned from the iAds ad network of Apple. The startup announced the news via Twitter, according to VentureBeat.

Based on a statement posted on its website, shut down because the startup's sole investor unexpectedly yanked out its funds. Founder Oleg Fomenko named the said investor as Russian TV channel TNT. The fund pullout was done after the company went through an organizational change. With regards to the banning controversy, said it was banned because of its close similarity with Apple's iTunes Radio, the report detailed.

The shutdown statement read: "We'll keep this short because we're pretty shell-shocked. It's game over for Our investor, who's been along for the ride since day one, has unexpectedly pulled our funding. It's come so out of the blue that we don't have time to find new investment. So, with enormous regret, we have to shut up shop. This is a poetically crappy turn of events as our young business was showing real promise. Our apps and web player are looking super-nice, and we had 1,158,914 registered users in a little over a year. Yep. A massive thanks to everyone that helped us get this far. We're absolutely gutted. But it's been a real pleasure."

Launched in January 2013, was available for both iOS and Android devices. The startup was supposed to launch its web app this year. Fomenko said if another investor can provide a certain amount of investment, could still be saved, VentureBeat relayed.

© 2024 VCPOST, All rights reserved. Do not reproduce without permission.

Join the Conversation

Real Time Analytics