BOULDER, CO - Auddia Inc. (NASDAQ:AUUD) (NASDAQ:AUUDW), the company known for its proprietary AI platform for audio identification and classification, announced plans to integrate its technology into the Radio FM app, aiming to offer a premium ad-free AM/FM listening experience for its subscribers.
This move is expected to maintain current advertising revenues while introducing a new subscription model within the next two quarters following the acquisition of Radio FM.
The integration strategy is designed to preserve the existing free tier of Radio FM, which currently serves 4.6 million monthly users and generates the majority of its revenue through digital ad placements. Auddia's Chief Marketing Officer, Theo Romeo, emphasized that the user experience will remain unchanged immediately post-acquisition, allowing for a seamless transition to premium options.
Auddia's CEO, Michael Lawless, expressed that the company's goal is to preserve all acquired revenue while adding high-margin subscription revenue. The eventual merger of user interfaces between faidr and Radio FM into a single audio "Superapp" is part of a long-term vision to deliver cost synergies.
The company's acquisition strategy also includes providing Auddia's ad-free podcast partners access to Radio FM's global user base. Management believes that if a 5% subscription conversion rate is achieved among Radio FM's acquired users, Auddia will reach profitability in 2025. If additional targeted acquisitions are successful, this timeline may accelerate.
Auddia's flagship audio superapp, faidr, offers subscription-based, ad-free listening on any AM/FM radio station and ad-free podcast listening, along with interactive digital feeds for deeper storytelling. This approach addresses a growing audience with strong purchase intent.
The information in this article is based on a press release statement and contains forward-looking statements that involve uncertainties and risks. These could significantly affect the company's plans and future financial performance. Investors are encouraged to review the company's filings with the Securities and Exchange Commission for a detailed discussion of these risks.
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