Telecom service provider TeliaSonera will invest $115 million for a 1.4 percent equity stake in Spotify.
TeliaSonera and Spotify are also committing resources, staff and other assets to boost innovation in areas such as media distribution, customer insights, data analytics and advertising. TeliaSonera and Spotify will have a joint team to run the projects.
“We’ve set-out to create a New Generation Telco where innovation is key to our success. Spotify is a great company, loved by customers and with a world class take on innovation I’m excited to join Spotify’s journey as investor and key partner,” said Johan Dennelind, president and CEO, TeliaSonera.
Though Martin Lorentzon, chairman of the Spotify, has been a member of TeliaSonera’s Board of Directors since 2013, Martin Lorentzon has not participated in the board’s discussions or in the decision leading up to the partnership.