Paris-based music streaming service Deezer has agreed to purchase subscription streaming provider Muve Music from AT&T subsidiary Cricket. As per the acquisition, Muve will shut down its service on February 7 but not before its existing customers have had a chance to migrate to Deezer.
Those currently using Muve can opt to transfer their playlists and music libraries to Deezer and will be offered an extended trial of the new service which will run through the end of March.
Once the acquisition is complete, Deezer surmises it'll be the second largest streaming music provider in the US. At present, Muve enjoys over 2 million users that, when combined with Deezer Elite's subscriber base (they aren't providing an exact count), is expected to put them just behind Spotify.
Muve was available for Cricket pre-paid phones and has largely catered to a low-income audience. Deezer plans to charge subscribers $6 per month which is a good bit cheaper than the $9.99 that most other services command.
It may seem odd that Deezer is going after the high-end market with its Elite service and now the low-end with Muve, but that's all part of the plan according to CEO Tyler Goldman.
In an interview with Billboard, Goldman notes that the US is a broad market and there are listeners with many different needs. Most services, he said, have gone with a broad offering for all users and generally haven't ended up with many subscribers.
Deezer's strategy is to go after specific market segments and with the acquisition, they'll have the low-end, high-end and podcast market covered.