Amazon Acquires Wondery in a Deal Valued Around $300m

Amazon Acquires Wondery in a Deal Valued Around $300m

Amazon has announced that it’s acquiring Wondery, a podcast startup that has caught a glimpse of popularity with top-rated podcasts and millions of listeners.

“We’re pleased to announce that Wondery has signed an agreement to join Amazon Music. Wondery is an innovative podcast publisher with a track record of creating and producing top-rated podcasts that entertain and educate listeners, including “Dirty John,” “Dr. Death,” “Business Wars,” and “The Shrink Next Door,” Amazon said in announcement.

Amazon said Wondery will become part of its music and add support for podcasts, including its own original shows in September.

“Wondery is already delighting listeners with its collection of immersive podcasts, and the company is evolving this entertainment medium into a truly new and exciting experience. When the deal closes, nothing will change for listeners, and they’ll continue to be able to access Wondery podcasts through a variety of providers,” Amazon added.

With Amazon Music, Wondery will be able to provide even more high-quality, innovative content and continue their mission of bringing a world of entertainment and knowledge to their audiences, wherever they listen, the company said.

It is the season of podcasts and companies are betting big in the market through acquisitions. Spotify has acquired Gimlet, SinuXM acquired Stitcher and New York Times acquired Serial Productions.

With Amazon’s entry into the market, although it seems late, the competition is going to heat up.

Amazon Music launched podcasts in September 2020; the company said together with Wondery, it hopes to accelerate the growth and evolution of podcasts by bringing creators, hosts, and immersive experiences to even more listeners across the globe, just as it does with music.

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“This is a pivotal moment to expand the Amazon Music offering beyond music as listener habits evolve. Our commitment to podcasts, our focus on high quality audio with the Amazon Music HD tier, and our recent partnership with Twitch to bring live streaming into the app, make Amazon Music a premiere destination for creators,” it said.

Amazon said the partnership will ensure that it will continue to bring more customers to streaming and expand selection and ensure they become a destination for their customers to find, discover, and listen to the creators and artists they enjoy.

The financial terms of the deal were not disclosed as it is yet to be closed. Amazon assured listeners that nothing is changing for today.

Techcrunch reported that the deal is valued around $300 million. Wonder has raised a total of $15 million in funding from Advancit Capital, BDMI, Creycroft, Lerer Hippeau among others, according to Crunchbase.

Wondery has become popular in the US. It was ranked by Podtrac as the fourth largest podcast publisher in November, with an audience of more than 9 million listeners in the US.

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