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Summary:

Hutchinson Wampoa Chairman Li Ka-Shing participated in Spotify‘s recent financing round and took a stake in the European music streaming web site, Forbes has confirmed. With Li’s foot in the door, the telecom mogul will likely look to marry Hutchinson Wampoa-owned mobile handset maker INQ with […]

logo4Hutchinson Wampoa Chairman Li Ka-Shing participated in Spotify‘s recent financing round and took a stake in the European music streaming web site, Forbes has confirmed. With Li’s foot in the door, the telecom mogul will likely look to marry Hutchinson Wampoa-owned mobile handset maker INQ with a mobile application from Spotify. INQ sells cheap, social network-focused phones including a Facebook-oriented device; a Twitter handset is due to hit the market at the end of this year.

Spotify took its first step into the mobile world last month with its request to be featured on the iPhone, but Apple is expected to reject it because of the music streaming service’s similarities to iTunes. The Li Ka-Shing Foundation told Forbes that INQ Chief Executive Frank Meehan will sit on the board of Spotify, but wouldn’t confirm either the size of Li’s stake or what he paid for it. The FT reported at the start of the month that Spotify was close to securing $50 million in funding, valuing the company at $250 million.

Last year, Li upped his stake in Facebook to more than $100 million from $60 million. With an INQ Twitter-focused phone on the way, maybe Li will set his sights on investing in Twitter next.

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By Jennifer Martinez

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  1. nice interesting read
    but u seriously think he might be eying a piece of the twitter pie?
    the most interesting thing is do companies mostly focused on telecom see some part of their future growth and success in the hands of twitter and facebook? only time will tell i guess

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  2. Interesting article, I wonder when the first licensed mobile version of Spotify might be available, it’s still hard to imagine it working as a business model on phones, as surely it will detract from the networks other offerings such as iTunes for Apple, Orange Music that works with 4Music, etc.

    Would be amazing if Spotify did make it onto a mobile device though!

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  3. [...] By Jennifer Martinez | Thursday, August 27, 2009 | 3:49 PM PT | 0 comments Music lovers on the go, rejoice! Apple has apparently let Spotify, which enables users to instantly stream entire albums and share custom playlists, put an app in the iTunes App Store. The decision comes a week after it was confirmed that Hutchinson Wampoa Chairman Li Ka-Shing participated in the Spotify’s recent financing round and took a stake in the Europ…. [...]

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  4. [...] Riding Hype as Spotify for Video You may have heard of Spotify, the European music streaming app whose mystique has only deepened due to its [...]

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  5. [...] the company? By the looks of recent events, possibly a Spotify phone. Hutchinson Whampoa Chairman Li Ka-Shing recently took a stake in Spotify, a music streaming service, and put Meehan on the company’s board. (Hutchinson Whampoa owns [...]

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  6. [...] then, we have moved to new offices and Daniel’s company has raised tons of money, is valued at a rumored $250 million, has become a media darling and most importantly, a consumer favorite. It now has more than 100 [...]

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  8. [...] Well-funded Spotify’s revenue strategy places great importance on success in the mobile sphere. It offers both a free streaming service that includes advertising on the desktop, as well as a premium version that eliminates ads and is accessible on mobile phones. Spotify had intended to introduce its service in the U.S. sometime in late 2009, but recently pushed the launch back to 2010 as content owners have stalled licensing deals for their music catalogs. The service is currently available in Sweden, Norway, Finland, the UK, France and Spain. : Online Music, Oskar Stål, spotify 0 0 0 15 [...]

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  9. [...] a handful of companies have raised substantial rounds this year — among them Pandora, Spotify and MOG — expectations for digital music companies are vastly different than they were a [...]

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  10. [...] remains popular, it will almost always face immense infrastructure costs. Sure it has raised over $50 million at a valuation of $250 million, but that may not be [...]

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