Shazam, the mobile app for identifying music, was responsible for $300 million worth of downloads from iTunes and Amazon MP3 in 2012. The program works by listening to any audio playing and matching it to a fingerprint in its database. This system is not only for music, but shows, ads, and other media as well. Hypebot reports that users are tagging up to 10 million songs, shows, and other things every day, expanding Shazam's database even further.
Shazam brings revenue to iTunes and Amazon by linking users directly to them once a song has been identified. Digital Music News reports that currently, 1 out of every 14 downloads can be attributed to Shazam. This also benefits Shazam, of course, who receives a small percentage of every sale that it brings to iTunes or Amazon.
Executive Vice President David Jones also pointed out that the revenue they generate for digital downloading services has been doubling every year. The Guardian also reports that Shazam recently reached 300 million users, all of whom are tagging new content. And although songs are the vast majority of business that Shazam deals with, television is rising quickly. Shazam has also worked out a deal with Fox to provide extra content for users to have as they watch shows. Shazam is also working with over 100 companies to provide extra content for its advertising campaigns.
Shazam is bringing hundreds of millions of dollars to digital downloads, working with huge media companies and brands, and expanding into wherever they can. David Jones says, "While we're making a ton of money now, compared to the billions of advertising that the networks sell, it's a smaller thing. That's the opportunity." There's certainly room for Shazam to make an impression on them.