After agreeing to acquire Shazam for $400 million in 2017, Apple has finalized the acquisition of the music recognition service as it was approved by European Union regulators earlier in September 2018. As part of the acquisition, Apple also announced that it will be scrapping advertisements on the free version of Shazam soon.
The companies didn't say anything on whether Encore, the paid version of Shazam, will continue to be available or not.
"Shazam was one of the first apps available when we launched the App Store and has become a favorite app for music fans everywhere. With a shared love of music and innovation, we are thrilled to bring our teams together to provide users even more great ways to discover, experience and enjoy music," said Oliver Schusser of Apple Music.
With SoundHound likely its only closest competitor, Shazam has been downloaded over a billion times to date and the company reports that on average, 20 million songs are identified using it app daily.
When approving the deal, the EU regulators stated that the acquisition raises no competition concerns.
"Data is key in the digital economy. We must therefore carefully review transactions which lead to the acquisition of important sets of data, including potentially commercially sensitive ones, to ensure they do not restrict competition. After thoroughly analysing Shazam’s user and music data, we found that their acquisition by Apple would not reduce competition in the digital music streaming market," said EU Commissioner Margrethe Vestager.