On 5 November 2009, Deezer launched a new three-tier service model.
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The company introduced mandatory registration in February 2009 to gather more precise data on users, to run more targeted ads, and in November 2009 began running audio ads between songs.
In October 2008, Deezer secured $8.4 million in funding from AGF Private Equity and CM-CIC Capital Prive, bringing total investment in the company to $15.8 million. In July 2008, the company began running ads itself through advertising agency Deezer Media. During the first half of 2008, the company saw revenue of just 875,000 euros, which was not enough to pay its licensing fees. ĭespite the high traffic, Deezer almost immediately ran into financial problems. By May 2008, 2.75 million people used the service each month, and there were seven million users by December 2009. During its first month of operations, Deezer's website had about 773,000 visitors, and traffic increased rapidly in the next several years. It took more than two years for agreements to be signed with the four largest labels, as well as various smaller ones, but by 2011 the company had rights to about eight million songs. Launch Īt the time of its launch in 2007, Deezer had not yet negotiated agreements with major music labels and therefore offered a limited catalogue.
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It was relaunched as Deezer in August 2007, having reached an agreement with SACEM to pay copyright holders with revenue from advertising on the site and by giving users the ability to download songs streamed on Deezer from iTunes, with Deezer receiving a commission from each purchase. The site in its original incarnation was charged with copyright infringement by French agency SACEM and shut down in April 2007. His idea was to give unlimited access to music lovers through streaming technology. In 2006, Daniel Marhely developed the first version of Deezer, called Blogmusik, in Paris.
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