Goom Radio, a new Internet radio company, has
raised a fat $16 million Series A round from Wellington Partners Venture Capital, Elaia Partners and Partech International.
Goom, which is based in New York City, debuted in France last year. Its service is set to be launched here later this year.
Internet radio has taken a
variety of business models, with some stations including audio ads, and some, like Highnote Networks Inc., relying on paid music placement. But Goom claims that its model marks the evolution of online radio. It is ad supported and allows listeners to customize content and choose the music they want to hear.
Goom said it has hired former Google Audio exec Joe Anastasi as a sales account executive to build relationships with ad agencies and "procurement of revenue." The company is helmed by Rob Williams, the former head of Clear Channel New York.
The company's investors are placing a big bet on a sector that
so far hasn't provided many stellar exits for venture capitalists. One notable exception is Last.fm Ltd., which was acquired by CBS Broadcasting Inc. in 2007 for $280 million.
- Olaf de Senerpont Domis
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