Business report

SiriusXM Invests in Melody Retail Business

With Spotify the benchmark in 2022 for consumers who want high-quality on-demand audio, Pandora has repositioned itself under the ownership of SiriusXM Holdings Inc. as an in-store audio solution rather than an everyday draw for listeners, even with Pandora-powered app channels only for Sirius XM subscribers.

Now, SiriusXM is taking a step further into in-store music by acquiring a company known for legal music streaming.

Sirius XM Radio Inc., acquired Cloud coverparent of Cloud Cover Music. It is an entity known for its “music for business” service and employs business management, music programming, licensing and software development teams. Cloud Cover Music’s offerings allow businesses to stream music, with personalized audio messaging if desired, “to create the desired atmosphere for their prospects, customers, and customers,” Sirius XM explains.

Is this another nail in the coffin of traditional radio in a retail setting? Maybe not, given its use at mom-and-pop retailers. However, large retailers and those in the hospitality industry likely rely on ad-free music for their business. In the case of Cloud Cover Music, it is used in a wide variety of commercial sites in the United States and Canada.

Cloud Cover Music joins SiriusXM Music for Business and Pandora for business in SiriusXM’s commercial music portfolio.

The Cloud Cover Music team will continue to be led by the VP/GM Marc Lehman. He commented, “As one of the fastest growing business music services, we are proud of the track record Cloud Cover Music has achieved with our tens of thousands of customers. We are thrilled to have the brand recognition and strength of SiriusXM and Pandora behind us as we continue to focus on delivering the best music and messaging products for businesses.

SiriusXM was represented by Weil, Gotshal & Manges LLP as counsel. Alkali Partners served as exclusive financial advisor to Cloud Cover Media, and David Wohlberg and Ekong Udoekwere represented the company as counsel.