Last week Soundcloud announced they were to reduce their staff by 40%, in addition to closing their London and San Fransisco offices. TechCrunch reported that the company only had enough money to last another 50 days.
However, co-founder and CEO Alex Ljung hit back at rumours on Friday in a post titled "Soundcloud is here to stay', where he goes on to dismiss suggestions of financial difficulty as 'an insane amount of noise about Soundcloud".
He continues "The music you love on SoundCloud isn’t going away, the music you shared or uploaded isn’t going away, because SoundCloud is not going away. Not in 50 days, not in 80 days or anytime in the foreseeable future. Your
The saga continues to unfold however, as Chance the Rapper, who made his start via Soundcloud, tweeted he as "working on the Soundcloud thing". The rapper then went on to release an exclusive track on Soundcloud. It is still unclear if the musician has provided financial help for the Berlin-based start up.
Read Alex Ljung's full statement here.