You’re reading it here first: MediaNama has learned that Motorola is shutting down its Soundbuzz business. Sources within Motorola in India, as well as other industry sources have confirmed the development, and we’re awaiting details from the company about whether this impacts Soundbuzz’ business across South East Asia and Australia. According to our sources, Motorola has “decided to end the Soundbuzz business.” We’ll update when we have more.
This is believed to be a part of the cost reduction exercise from Motorola Mobile Devices: the company will no longer focus on building a e-to-e music services or MotoMusic, for which Soundbuzz had been acquired by Motorola in January 2008. The company was going to use Soundbuzz’ relationships in India, South East Asia, Australia and New Zealand to launch its MotoMusic services. Six months after the acquisition, Motorola had launched MotoMusic in India, powered by Soundbuzz. Soundbuzz had been started by for MTV Asia MD Sudhanshu Sarronwala in 1999.
The buzz about Soundbuzz shutting down in India has been there for the last couple of weeks.