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Opening to the public in May, the New York based start-up, Turntable.fm has spun about substantial investments over the last couple months. With major venture captialist Union Square Ventures as their lead investor, the social networking DJ-site has also received financial backing from Kanye West and Lady Gaga in their latest round of investment.
With the ink of the term sheets still drying, the specific amounts invested by each of the pop artists has not been confirmed. However, West and Gaga contributed to the $7 – 7.5 million round of investments garnered by the social media start up.
With valuation of the start up now measured at $37.5 million, the pop icons and major investment house may turn out a viral response through their infusion of capital.
Considering that Turntable.fm has recently secured licensing rights by ASCAP and BMI, if the start up continues operating within the Digital Millenium Copyright Act, the relatively new site will have immense financial support with little operating cost.
As long as the site can maintain itself as a non-interactive streaming radio service, it will quality for DMCA protection.
However, since the start up still needs to secure licensing rights from SESAC and EMI, users outside the U.S. will still have to wait before their access to the social media service is restored.
With over 300,000 registered users, the DJ social networking space is showing no signs of slowing down.