Breaking: Has Stereogum Been Bought For A Song?

We’re hearing reports today that music-blog pioneer Stereogum will soon be receiving a cash influx from the Pilot Group, the investment firm led by former AOL honcho Bob Pittman (they’re the guys who scooped up a controlling stake in daily e-mail newsletter DailyCandy for somewhere around $2 million in 2003). We’re not sure if Pilot has outright purchased the site–or is just investing some money–but if this rumor is true, we’re guessing the ‘Gum will now be able to build a revenue stream slightly more reliable than indie-label banner ads.

The obvious question: Why would Stereogum founder Scott Lapatine want to sell the three-year-old site at all? We’re guessing it’s the combination of a heavy workload (even though he recently brought in a co-writer, Lapatine does a majority of the writing himself) and–with 4,876 new music blogs minted each day–an increasingly crowded field of competitors, including a possible new music blog from Techcrunch. More money could not only provide more assistance on the tech side, but also help Stereogum build a real advertising sales staff — and thus increase revenue. If Pilot is indeed the investor, and they’re following the model they employed with DailyCandy, they’ll likely look to build Stereogum’s revenue and audience so a sale down the road to a larger player–like Wenner Media–benefits both parties.

Either way, Lapatine now owes us drinks. We bought last time!

  • coolfer

    Three years old? Stereogum’s gotta be older. Coolfer is over three years old, and Scott was going strong when I started.

    Note to investors: I’m accepting offers for a fourth birthday present.

  • ElGee

    Surely they could have got Ben Gibbard in to write for them — he already did such good job at selling t-shirts.

    That said, if this means more and better Stereogum, I’m all for it.

  • MTS

    So I guess Scott didn’t get that raise at VH1 after all?

  • Brian Raftery

    According to an interview with USA Today from last year, Stereogum was a LiveJournal page that didn’t become a “proper website” until late 2003:

    Also to investors: I’m accepting offers for a seventh-week anniversary.

  • shallowrewards

    They think you’re moody, make ‘em think you’re crazy. Make ‘em think you might snap. They say you got attitude, you show ‘em some real attitude.

  • lindsayism

    Scott quit VH1 a long time ago. And yes, Stereogum was originally a livejournal page but Coolfer is correct — it was a very influential livejournal page (uh, never thought I’d say that sentence.) Scott was probably just being modest in the USA Today interview – as is his way. Good for him!

  • The Playlist

    Coolfer, Ott, Lindsay, Raftery. What a small circle we live in.

  • Trackback

    Raise your hand if you think Stereogum sorta started sucking about seven months ago. Just sayin.