In a move that might shock some, Rdio is shutting down now that it has filed for bankruptcy. Pandora will be acquiring Rdio's "key assets" to the tune of $75 million.
Pandora will secure all of Rdio's technology and IP while the company will be offering jobs to "many" of Rdio's staff. With Pandora not acquiring the entire company, there will be some Rdio employees left without a job once it's all said and done. Rdio's CEO for example, will not be making the transition to Pandora.
Now that Pandora will be taking some of Rdio's most important parts, it will allow the company to become much more than just a streaming radio. Pandora has been doing well in the market, but it has struggled to maintain its growth and turn a profit, especially when it's competing against the likes of Spotify, Google and Apple which all offer various features and on-demand music streaming.
The Rdio brand and company will be shut down entirely, with the sale of key assets to be completed in Q1 2016. The auction of Rdio's other assets will be handled by the United States Bankruptcy Court for the Northern District of California.
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