Twitter Nixes SoundCloud

Though the company was recently said to be in the process of acquiring SoundCloud, sources close to the negotiations told the Financial Times Twitter backed out of the deal over copyright concerns and questions of ad profitability.

A purchase may have expanded Twitter’s reach and helped soothe concerns over the company’s lack of growth, but it would have come at a cost.

Soundcloud was reportedly valued at $700 million in a funding round earlier this year.