AUUDW - Auddia Details Expected Synergies of Proposed Acquisition of Radio FM | Benzinga
Acquired ad revenue growth expected from improving ad market rates and optimization of programmatic CPMs
Near term integration of Auddia's AI into the Radio FM (RFM) app delivers a premium ad-free AM/FM listening experience for existing users who elect to subscribe
Near term integration of Auddia's AI into the RFM app provides Auddia ad-free podcast partners access to global user base
BOULDER, CO, Feb. 29, 2024 (GLOBE NEWSWIRE) -- via NewMediaWire – Auddia Inc. (NASDAQ:AUUD) (NASDAQ:AUUDW) ("Auddia" or the "Company"), a proprietary AI platform for audio identification and classification and related technologies, that is reinventing how consumers engage with AM/FM radio, podcasts, and other audio content, detailed today how the company expects to drive significant synergies through its proposed acquisition of streaming app Radio FM.
Theo Romeo, CMO and Chief Product Officer of Auddia, said, "Radio FM currently generates almost all of its revenue from digital ad placements on a free tier. Our product integration strategy is to leave this free tier intact and integrate our AI into the existing Radio FM platform. This will give the acquired user base of 4.6 million monthly users the option to pay a subscription to listen to AM/FM streaming stations without any commercial interruptions."
By not altering the free tier, Auddia expects no interruption to acquired ad revenue and continued growth from improving ad market rates and optimization of programmatic CPMs. Premium subscriptions for ad-free AM/FM listening are expected to begin within two quarters post-acquisition.
As previously announced, Auddia has recently productized a second ...