Infinite Reality Purchases Napster for $200M to Develop a Social Music Hub & Virtual Concert Experience

Napster—the name probably takes you on a trip down memory lane, back to the days when the internet was a wild frontier. Well, hold onto your hats because Infinite Reality, a company at the forefront of immersive web technology, has just snapped up the Napster brand for a cool $207 million.

Infinite Reality has plans to transform Napster into a “social music platform.” After securing a whopping $3 billion investment earlier this year, they’re gearing up to introduce branded 3D virtual spaces where fans can enjoy virtual concerts and attend listening parties together. Beyond that, Napster will offer both physical and virtual merchandise, exclusive digital content, and event tickets.

“We’re charting a path to a brighter future for artists, fans, and the music industry,” explained John Acunto, co-founder and CEO of Infinite Reality. “This strategic acquisition is perfectly in line with our vision to shift the internet from a flat, 2D clickable web to a vibrant, 3D interactive space. We want to equip creators with the tools to better engage with, monetize, and understand their audiences.”

Guiding Napster’s transformation is CEO Jon Vlassopulos, formerly of Roblox. His vision? A cutting-edge platform where music fans can interact with their favorite artists in 3D virtual environments, making music listening a more communal and immersive experience.

Since its inception in 2019, Infinite Reality has made a name for itself with iR Studio, an engine designed to create immersive websites filled with social virtual environments and avatars. They’ve integrated WebXR support into their iR Engine, even though it’s not fully active in the current iR Studio. There’s a buzz too—Napster could potentially support WebXR in the future, opening up possibilities for VR headset users, although this remains speculative for now.

Napster’s journey hasn’t always been smooth. After its 2002 bankruptcy, mainly caused by a legal dispute over unlicensed P2P music sharing that famously involved Metallica, the brand has moved through several hands. These transitions aimed to leverage its initial fame, ultimately morphing Napster into a subscription-based music streaming service.

Interestingly, Infinite Reality isn’t the first XR-focused company to see potential in Napster. Back in August 2020, MelodyVR, a virtual concert company based in London, acquired the brand for $70 million, aiming to integrate immersive video concerts with VR headsets. More recently, before Infinite Reality stepped in, Napster belonged to Algorand, a blockchain firm with aspirations of decentralizing music.

The Napster brand may have changed hands multiple times, but its storied past lends it an enduring charm. Now with Infinite Reality’s ambitious plans, perhaps it’s poised for yet another remarkable evolution in the music industry landscape.