simfy is a Cologne-based music streaming service that gives users access to over 16 million songs in the cloud and supports listening, playlist creation, and social sharing. The service is available in German, French, English and Dutch and offers both free advertising-financed and subscription-based premium options. simfy reported more than 2 million users and said a healthy percentage are paying premium subscribers. Management aims to reach profitability within the next quarter and targets double-digit millions in revenue this year. The company plans accelerated global expansion across emerging markets with an imminent non-European launch within the next 30 days. Simfy operates a music-streaming service with both a free, ad-supported tier and a paid premium tier that includes mobile apps and offline playback. The company does not cap free listening hours and its pricing is on par with competitors. Simfy pursues B2B distribution partnerships with social networks, ISPs, cable operators and mobile operators to scale reach. It currently operates in German-speaking countries—Germany, Austria and Switzerland—and is planning expansion into other European countries. CEO Gerrit Schumann says the new funding will help consolidate its leading position in those markets and support international expansion plans. The company has signaled further large partnerships, including alliances with VZ networks, O2 and an imminent deal with a major European TV network. simfy is a Cologne, Germany-based provider of music on demand (MOD) services. The company offers music streaming with premium features that allow offline playback and mobile access via an iPhone app. simfy has signed agreements with all major labels (Universal Music, Sony Music, EMI, Warner Music) and important aggregators for independent labels to expand its catalog from around three million to over 6.2 million titles. It also reached an agreement with the German rights society GEMA to ensure songs are licensed and legally available online. simfy received €7m in funding to accelerate growth. The company plans to expand throughout Europe and will begin offering services in Belgium, the Netherlands, Luxembourg and other countries in the coming months.

Total raised

$23M

Funding rounds

3

Latest round

Equity

Latest activity

May 2011