This installment of my newsletter is free for everyone. I send this email daily.
If you would also like to receive it every morning, join the 40,000 other people who care about Business, Tech & Growth, by clicking the button below or share it with a friend who’d find it useful.
Spotify Hits 165-Million Premium Subscribers
Showing no signs of stagnation or saturation, Spotify’s total number of monthly active users has touched the mark of 365 million. Out of these, 165 million are premium subscribers.
The numbers show a 20% annual growth in the volume of premium subscribers and 22% annual growth in the volume of monthly active users.
Apple Music and Amazon are rivals of Spotify. Although these two do not publish similar numbers regularly, estimates suggest that Apple Music has 60 million paying subscribers and Amazon Music has 55 million.
Along with the subscription numbers, Spotify also witnessed a growth in its average revenue per user. The company now earns $5.07 per premium subscriber, which is equivalent to 4.29 Euros.
Last quarter, the platform was earning 4.12 Euros per premium subscriber. The growth is a result of an increase in the platform’s subscription prices. Yet, despite a quarterly growth, the per premium subscriber revenue of Spotify is down 3% compared to the same quarter last year.
This quarter, Spotify has made a net loss of 20 million Euros, a humongous improvement compared to the net loss of 356 million Euros (432 million USD) in the same quarter the previous year.
Search-as-a-Service Product Developer Algolia Raises $150 Million
Becoming a unicorn, search API startup Algolia has raised $150 million in its Series D funding. The funding round took the post-money valuation of the company to $2.25 billion, making it a unicorn with a valuation above $1 billion.
Lone Pine Capital served as the lead investor in this round. Other investors to participate in the funding included Fidelity Management & Research Company LLC, STEADFAST Capital Ventures, Glynn Capital, and Twilio.
Even some existing investors of Algolia, including Accel, Salesforce Ventures, DAG, Owl Rock, and World Innovation Lab, raised their stake in the company.
Algolia is famous for its search-as-a-product, letting users integrate real-time search in their application or website through a developer-friendly API. The product acts super fast, with results loading within just a few milliseconds.
Without revealing its actual revenue numbers, the company has reported a year-over-year increase of 180% in its annual recurring revenue.
The company has more than 10,000 customers, including some of the biggest global brands like Slack, Stripe, Medium, Zendesk, and Lacoste.
In terms of traffic handled, Algolia is now handling more than 1.5 trillion search queries in a year.
Young People’s Privacy and Security to Increase on Instagram
Instagram is bringing a significant update in its settings, keeping its under-16 users in mind. Any user, aged under 16, will now have a private account by default.
Earlier, users had to choose between a public and a private account when signing up. That has changed. Young users, under 16, will now have to manually shift to a public account if they decide to do so.
The platform will also send a notification to the young users on signing up, explaining the benefits of having a private account and the ways to change the privacy settings.
In another step, towards this goal, Instagram will also limit the ways advertisers and young people interact on Instagram and Facebook.
It will allow ad-targeting only based on age, gender, and location for users under 18. The advertisers won’t have permission to leverage any other parameter, such as interests or activity on other apps and websites.
Goldman Sachs Moves Towards DeFi ETF
In another instance of leading mainstream financial institutions taking a keen interest in decentralized finance, investment banking leader Goldman Sachs has filed an application with the SEC for DeFi ETF.
A DeFi ETF would be an exchange-traded fund, offering exposure to public companies in decentralized finance and blockchain.
Although many details on the exact composition of the fund are yet to be made available, the fund would invest at least 80% of its assets into companies pioneering the cause of blockchain and decentralized-finance.
The fund would be named ‘The Goldman Sachs Innovate DeFi and Blockchain Equity ETF’ and become available in the markets of Australia, Canada, France, Germany, Hong Kong, Japan, South Korea, Switzerland, the Netherlands, the United Kingdom, and the United States.
AROUND THE WEB
🌐 Transferring the Backup: Whatsapp, the facebook-owned messaging service, is working to develop a way of transferring chat histories between iOS and Android.
💆 Investment for Digital Therapy: From a funding round led by Morningside Ventures and Advantage Capital, MedRhythms has secured the infusion of $25 million to expedite its digital therapy platform.
📉 Withdrawal Limits Reduced: From August 2021 onwards, Binance users can no longer withdraw more than 0.06 BTC per day without having their KYC fully verified.