Sign up for our daily briefing
Make your busy days simpler with Axios AM/PM. Catch up on what's new and why it matters in just 5 minutes.
Catch up on the day's biggest business stories
Subscribe to Axios Closer for insights into the day’s business news and trends and why they matter
Stay on top of the latest market trends
Subscribe to Axios Markets for the latest market trends and economic insights. Sign up for free.
Sports news worthy of your time
Binge on the stats and stories that drive the sports world with Axios Sports. Sign up for free.
Tech news worthy of your time
Get our smart take on technology from the Valley and D.C. with Axios Login. Sign up for free.
Get the inside stories
Get an insider's guide to the new White House with Axios Sneak Peek. Sign up for free.
Catch up on coronavirus stories and special reports, curated by Mike Allen everyday
Catch up on coronavirus stories and special reports, curated by Mike Allen everyday
Want a daily digest of the top Denver news?
Get a daily digest of the most important stories affecting your hometown with Axios Denver
Want a daily digest of the top Des Moines news?
Get a daily digest of the most important stories affecting your hometown with Axios Des Moines
Want a daily digest of the top Twin Cities news?
Get a daily digest of the most important stories affecting your hometown with Axios Twin Cities
Want a daily digest of the top Tampa Bay news?
Get a daily digest of the most important stories affecting your hometown with Axios Tampa Bay
Want a daily digest of the top Charlotte news?
Get a daily digest of the most important stories affecting your hometown with Axios Charlotte
Sign up for Axios NW Arkansas
Stay up-to-date on the most important and interesting stories affecting NW Arkansas, authored by local reporters
Bill Simmons. Photo: Mike Windle / Staff/Getty Images
Spotify disclosed in an SEC filing Wednesday that it is paying up to $196 million for The Ringer, a sports media company founded by former ESPN personality Bill Simmons.
Why it matters: It's a solid payout for The Ringer, which was created just four years ago. The Ringer's podcast revenues surpassed $15 million in 2018, and the company says it's profitable.
Details: Spotify said it entered a deal with The Ringer to pay between €130 million and €180 million (roughly $140 million and $196 million), subject to closing costs as well as deferred payments.
- The deferred payments are based on contingencies, like performance and whether executives from The Ringer stay with Spotify after the deal closes for an unknown period of time.
The big picture: The acquisition speaks to Spotify's massive investment in podcasting over the past year, as the company aims to expand its offering solely from music to audio, including podcasts.
- Spotify spent nearly $400 million to acquire podcast companies last year, after committing to spending at least $500 million on podcasting at the beginning of that year. This acquisition means Spotify has exceeded its upfront commitment.
Go deeper: Spotify acquires Bill Simmons' "The Ringer" to boost podcast business