Streaming Music Service Pandora Lands $35 Million

Authored by Mark Hefflinger on July 13, 2009 - 6:37am.

San Francisco - Streaming music service Pandora has raised $35 million in a new round of venture capital financing, led by Greylock Partners, PEHub.com reported.

The company declined to comment on other investors or its valuation for the round for PEHub.

San Francisco-based Pandora's ad-supported free service lets users create Web radio stations based on a particular artist or song, and then recommends similar songs, allowing users to interact by skipping tracks or giving them a thumb's up, or down.

The funding announcement comes a week after a deal on music webcasting royalty rates was announced by SoundExchange, and follows the company's announcement that it would begin charging a fee for those who wanted to use the service more than 40 hours per month.

The company previously raised $29 million from Crosslink Capital, DBL Investors, Hearst Corp., Labrador Ventures, Selby Venture Partners and WaldenVC.

http://www.pandora.com