Rdio, a streaming music subscription service launched by the founders of Skype, has signed a deal with Cumulus. Cumulus Media runs around 525 radio stations. Cumulus will get significant equity stake in Rdio parent company Pulser Media.
Subscriptions for Rdio costs $5 to $10 per month and can be used in 31 markets around the world. Millions of songs are available to stream through Rdio. However, the company faces intense competition with other services like Pandora, Spotify, and Songza.
No cash is being exchanged in this transaction.