24 Jun 2009   |   News

Music Networx raises €3.3 M to rescue music industry


Funding

Cologne-based Music Networx of Cologne, Germany, has closed a €3.3 million round to finance the further development of its live music distribution technologies.

The venture capital firm Earlybird is putting in €2 million, with the remaining €1.3 million coming from existing shareholders, including DuMont Venture and Klaus Wecken.

Music Networx offers live acts, labels and other rights owners a seamless value chain from recording and production, to online and off-line marketing and distribution of live performances. For a majority of artists live concerts now represent their most important source of income, as revenues from studio recordings continue to decline.

Music Networx increases revenues from live performances through a range of channels. Concert-goers can, for example, purchase a USB stick or mobile download of a concert they have just attended. Meanwhile, the web-based “Concert Online” platform enables the distribution of recordings to a wide base of music fans.

“We have significantly increased our popularity with bands, labels and concert-goers over the recent months,” said Gerrit Schumann, CEO and co-founder of Music Networx. “Top international acts such as Simply Red and Franz Ferdinand, and music festivals such as Rock im Park and Rock am Ring, have successfully partnered with us.”


Never miss an update from Science|Business:   Newsletter sign-up