Infinite Reality Acquires Napster for $200 Million to Develop a Social Music Platform and Host Virtual Concerts

Napster—there’s a name that might take you on a trip down memory lane. It’s been a while since it’s been in the spotlight. Now, in a surprising twist, the immersive web outfit Infinite Reality has scooped up the iconic brand for a whopping $207 million.

Earlier this year, Infinite Reality marked a significant milestone with a massive $3 billion investment. They’re now gearing up to transform the Napster music streaming service into something fresh and exciting—a “social music platform” where fans can dive into branded 3D virtual spaces for concerts and listening parties, right from their screens.

But that’s not all. Infinite Reality is planning to expand Napster’s horizons by offering an array of products including both physical and virtual merchandise, exclusive digital content, and tickets for events. “Acquiring Napster is our way of crafting a future where artists and fans feel more connected and the music industry as a whole prospers,” shared John Acunto, co-founder and CEO of Infinite Reality. He added that it’s a part of their broader mission to propel the internet into a more interactive, 3D world, providing creators with cutting-edge tools to engage their audience effectively.

Jon Vlassopulos, who previously made waves at Roblox, remains at Napster’s helm. He’s envisioning a platform where fans can not only listen to music but also interact with their favorite artists in a full-fledged 3D experience, making music more social than ever.

In operation since 2019, Infinite Reality’s flagship is iR Studio. It’s an engine designed for crafting immersive web experiences packed with virtual social settings and avatars. Although WebXR support isn’t live yet in iR Studio, the company indicates that it’s on their radar, suggesting that Napster might one day support VR browser functionality, though this is still speculative.

Napster’s journey to now has been colorful, to say the least. After declaring bankruptcy in 2002 due to unauthorized peer-to-peer music sharing, which famously ruffled Metallica’s feathers, it’s been passed around by various companies attempting to tap into its renowned appeal. Most recently, it pivoted to a subscription-based music streaming service.

Interestingly enough, Infinite Reality isn’t the first XR-centric company to take Napster under its wing. Back in August 2020, MelodyVR, based in London, picked up Napster for $70 million with dreams of bringing VR users immersive concert experiences. Before Infinite Reality stepped in, Napster was in the hands of Algorand, the blockchain company angling to make music sharing more decentralized.