Pandora launched a multi-million dollar Initial Public Offering and said it may offer services beyond music such as sports, talk and news, heading deeper into competition with satellite radio service Sirius XM.
- “Although music format stations represent 80% of total radio share according to Arbitron…many radio listeners are drawn to sports, talk, news and other forms of content beyond music. We think there is an opportunity over the long term to offer these types of content in addition to music.”
Pandora says it has over 80 million registered users in the U.S. It has relationships with Ford, Mercedes-Benz and MINI. It’s app has been downloaded more than 50 million times for smartphones and in January it was the number 2 most downloaded iPhone app of all time and the number 1 most downloaded free app.
The company says it has a significant opportunity to benefit from advertising on mobile devices and also to expand overseas.
The service currently runs less than 1 minute of audio ads per hour compared to leading radio networks that run 13 minutes of ads per hour.
It’s revenue is reported at $90.1 million for the nine months ended October 31, 2010, with a net loss of $0.3 million.