Failed Spotify competitor Rdio has started to wind down operations ahead of a planned acquisition by Pandora: Rdio informed its paying users over the weekend that it won’t be renewing their subscriptions starting Monday. Users will be able to listen to the free, ad-supported Rdio tier for the time being, but a full shut-down is expected to happen some time in the coming weeks.
“Thank you for your support of Rdio over the years,” the company’s note reads. “You helped make Rdio not only a place to listen and discover, but also a global community of dedicated music lovers. We’ve enjoyed working on Rdio as much as you’ve enjoyed using it. It’s been an honor serving you.”
Pandora announced a week ago that it was acquiring some of Rdio’s key assets, as well as hiring part of the team, to build out its own on-demand music subscription product, which is expected to launch later in 2016. However, the transaction is contingent on Rdio filing for bankruptcy, and shutting down its existing service.
Rdio’s service was beloved by its users, but not widely known beyond a small audience. Numbers revealed as part of a bankruptcy filing suggest that the service had no more than 150,000 paying subscribers. Spotify on the other hand now has more than 20 million paying subscribers. Variety was first to report about Pandora’s plans to acquire Rdio last Monday.