We7

We7, founded in 2006 by Steve Purdham and Gareth Reakes, initially emerged as a personalized internet radio service, strategically positioning itself as an ad-supported alternative to the subscription models of the time. The company's business model centered on providing free, legal music streaming to users in the UK and Ireland, monetized through targeted advertising and partnerships. This approach allowed it to secure licensing agreements with major music labels, including Universal Music Group, Sony BMG, and Warner Music Group, a significant milestone for a free service.

The core offering was a streaming platform accessible via the web and mobile applications, which allowed users to listen to a vast catalog of music on demand. A key feature was its 'DNA' system, which learned a user's musical preferences to create personalized radio stations. In addition to the free, ad-supported tier, We7 offered a premium subscription service that removed advertisements and provided enhanced features like offline listening. This dual-revenue stream provided flexibility and catered to different user segments within the digital music market.

The journey of its founders was integral to its development. Steve Purdham, who served as CEO, had a background in building and selling technology companies, notably a text-messaging business called Inter-I. Co-founder Gareth Reakes brought technical expertise to the venture. Their combined experience facilitated the company's growth and its ability to navigate the complex landscape of digital music rights. In a strategic move that underscored its value in the market, US-based radio giant Entercom Communications acquired We7.

Keywords: music streaming, internet radio, ad-supported, digital music, personalized radio, music licensing, freemium model, online advertising, mobile application, music discovery