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Grooveshark
Web-based on-demand music application
Description
Grooveshark was the product of two young entrepreneurs. Grooveshark was a very popular streaming platform for music that was initially web-based and also had an app version for a period of time.
Stats
Category
Music
Country
United States
Started
In 2006
Closed
By 2015
Number of Founders
Three
Name of Founders
Andres Barreto, Josh Greenberg, Sam Tarantino
Number of Employees
Between 51 And 100
Number of Funding Rounds
3
Total Funding Amount
$4.6M
Number of Investors
No Data
Precise Cause of Failure
Legal Challenges
Business Outcome
Shut Down
Cause of Failure
Grooveshark technology was worth of being admired, especially considering that it was an underfunded venture built by two college students who were learning about business as they went.
Grooveshark major weakness was that it illegally streamed music. The company was sued by multiple record labels and the app was subsequently banned from mobile marketplaces. The company shut down in April 2015 and the platform founder was found dead in his room a couple of months later.
