Splice acquires Spitfire Audio virtual instrument company for reported $50 million

Splice has acquired virtual instrument company Spitfire Audio for a reported $50 million (USD). 

The sample and music creation platform announced the deal on Monday, 28th April, for an undisclosed sum, though the Financial Times reports “a person familiar with the matter” said the total was about $50 million, via Music Business Worldwide. This follows Splice raising more than $55 million in a Series D funding round, which included Goldman Sachs as an investor, back in 2021. 

This move gives Splice an in to the virtual plug-in landscape, with AI mentioned among other key attractive components for the companies in the acquisition announcement on Spitfire Audio’s website: “This partnership lays the foundation for the next generation of creative tools: by pairing Splice’s ethical AI-powered discovery engine with Spitfire Audio’s world-class sound engine, we’re setting the stage for what’s next in music creation.”

Spitfire Audio CEO Olivier Robert-Murphy will remain at his post and report to Splice CEO Kakul Srivastava, with both companies operating “independently in the near term”, according to Music Week.

Financial Times’ sources reported Splice being a profitable company, bringing in more than $100 million with over 600,000 paid subscribers. 

“The teams at Spitfire Audio and Splice have deep respect for composers, musicians and producers and are committed to celebrating and supporting their work”, Srivastava said, via Music Week. “We’re both sound-first, creator-led companies who believe great software and technology can supercharge the creative experience. Our shared vision is to develop tools that expand — not replace — human creativity… With Spitfire’s expressive instruments and Splice’s AI-powered platform, we’re just beginning to explore what’s possible.”

Splice has been expanding its AI-powered tools in recent years, with the CoSo (short for “compatible sounds”) app for identifying potentially well-suited sounds and mobile app integration. In March, Splice launched the ability to sing into the app to help track down a sample.