Hivemind and Algorand buy Napster “to once again revolutionise the music industry”
The move comes just months after Hivemind announced their involvement in the relaunch of Limewire as an NFT marketplace.
Napster has been acquired for the second time in under two years by two Web3 companies, Hivemind and Algorand, it has been announced. Napster Group reported the news, along with details of an investor consortium that includes ATC Management, BH Digital, G20 Ventures and others. Former Warner executive Emmy Lovell has been appointed Napster CEO, having been hired as chief strategy officer last year.
“Dear friends, we are excited to share that we’ve taken Napster Group private, and to bring the iconic music brand to Web3,” said Hivemind founder Matt Zhang via LinkedIn.
“Volatile market and uncertain times often bring exciting opportunities,” Zhang continued. “At Hivemind, we believe in developing thesis and building enduring value. Music x Web3 is one of the most exciting spaces we’ve come across, and we are thrilled to work with Emmy Lovell and many talents to unlock value for the entire ecosystem and revolutionize [sic] how artists and fans enjoy music. Stay tuned for more updates…”
Prior to the acquisition, Napster was bought by MelodyVR in 2020 with a view to uniting the brands under Napster’s nostalgia-rich branding and relaunching as a hybrid music and virtual reality platform, though the plans came to nothing.
It appears that Hivemind are planning to move forward on several fronts with former file-sharing sites, having also invested in the recent relaunch of Limewire, which Hivemind described as “a true internet OG platform”, as an NFT marketplace.
The announcement of Napster’s acquisition is further indicative that the web3 sector is being considered by many companies as the future of digital music consumption, with the familiarity of early digital music platform brands fetching a high price.
“At Hivemind, one of our core theses is in the value in nostalgic web1 and 2 brands combined with the technological potential of web3,” said the company of their investment into Limewire. “So excited for this journey!”