Regulatory press release

Acast is strengthening its focus on the open podcast ecosystem and is therefore shutting down its own podcast app

03.03.2022, 14.00

Acast's board has today decided that the company will discontinue its podcast app in 2022. The decision is based on the fact that the user data historically generated by the app has been replaced by better data sources and that the app does not support the company's vision of a completely open podcast ecosystem.

Acast's podcast app was launched in 2014 when there were still very few options for listening to podcasts. Since then, the app has been a source of first-hand data for Acast. The data that the app delivered has in recent years been replaced by more advanced user data from a number of different sources. The recent launch of Acast+, and the subscription services that Acast+ offers, also means that larger data volumes will be generated based on listeners' personal podcast preferences.

A separate podcast app does not support Acast's strategy to be a driving force for the fully open podcast ecosystem, since the entire foundation of Acast's business concept is based on being the underlying infrastructure that delivers podcast content to other podcast apps and platforms. Acast provides a B2B marketplace and generates the majority of its revenue from ads in the podcasts, which should be available on all podcast platforms.

The shutdown of the app will not have any noticeable effect on Acast's revenue or the number of listens.

Ross Adams, CEO of Acast, comments: “The app has been with us from the start and has been a great help in the development of our previous services and functions aimed at creators and advertisers. Now is the time to focus even more on our future vision for Acast. We strongly believe in the independent and open podcasting ecosystem and to live up to our promise to be completely platform-independent, we will not have our own app.”

“We want to focus on the products that create the greatest value for our creators and our advertisers. In terms of both useful data and revenue, we now have access to several other products that can give us and our partners so much more than the app can.”

Acast estimates that the app will be shut down later in the year.

About Acast

Acast was founded in 2014 and is the world’s largest independent podcast company. A pioneer in the open podcast ecosystem, Acast’s powerful podcast monetization marketplace delivers for creators and advertisers alike. Advertisers can efficiently target an engaged audience of listeners through dynamic ad insertion, while podcasters are given access to a range of monetization opportunities — including paid subscriptions through Acast+ — and the necessary tools to expand their listener base.

If you listen to a podcast hosted with Acast and hear an ad, it’s Acast delivering that audio behind the scenes — and sharing revenue with the podcaster.

The company has a global footprint across 12 countries and, during 2021, had 3.75 billion listens on Acast-connected podcasts. Today, Acast hosts 40,000 shows. Acast’s headquarters are located in Stockholm, Sweden and the Company has nine local subsidiaries in the UK, US, Australia, Norway, France, Germany, Ireland, Mexico and Canada.

In recent years, Acast has undergone an expansion with continued strong growth, with net sales increasing from SEK 180 million in 2018 to SEK 1.026 billion in 2021 — representing 73% growth versus 2020. As a result of Acast’s recent growth initiatives, the number of annual listens grew from approximately 1 billion (2018) to 3.75 billion (2021). In the fourth quarter of 2021, Acast had 1.09 billion listens.

Acast was co-founded by Johan Billgren, its Chief Innovation Officer, and is listed on the Nasdaq First North Premier Growth Market. Certified Adviser is FNCA Sweden AB, info@fnca.se, +46 (0) 8528 00 399.