Bandpage, the app that allows artists to monetize their followings, has been acquired by YouTube for a fire sale price of $8 million.
The app allows artists to set up a store and syndicate it to numerous social media and streaming platforms.
Bandpage started as an app to create a special tab on an artist's Facebook page, and had about 32 million users when Facebook shut that feature down in 2012. The company reportedly lost 90% of its traffic in 3 months.
The app then disconnected from a single platform, instead allowing artists to syndicate their pages or stores to most of the artist-friendly platforms available instead.
The company claims to have over 500,000 users, among them superstars like Beyonce, Bruce Springsteen, Christina Aguilera and Justin Timberlake.
Investors had poured over $32 million into the app, so a sale of only $8 million is somewhat surprising. It should be interesting to see how YouTube integrates it, especially now that the YouTube Red service has launched.