Two podcasting startups have won venture capital funding, a sign that both the promise and the hype is building for a grassroots broadcasting phenomenon that started just about a year ago. Podshow, led by former MTV host Adam Curry, who helped invent podcasting in July 2004, received $8.85 million in funding from Kleiner Perkins and Sequoia Capital, Private Equity Week reported Wednesday. In another sign of podcasting�s growing stature, eminent Kleiner VCs John Doerr and Ray Lane are joining the company�s board, the publication said. Miami-based Podshow is a project of Mr. Curry and Ron Bloom�s Boku Communications. The second company to announce funding Wednesday was San Francisco-based Odeo, led by repeat entrepreneur Evan Williams, who created the Blogger service which is now owned by Google. Charles River Ventures led the round; the sum was not disclosed. The round also included Amicus Ventures, and individuals including Mitch Kapor, Joe Kraus, Tim O�Reilly, Ron Conway, and HotorNot�s James Hong. Both companies make tools for the creation, distribution, and discovery of podcasts, which are audio files delivered by subscription to RSS feeds.
The subscription business model has been one of the big success stories of the Internet era. From Netflix to Microsoft 365, more and more companies are moving towards recurring revenue streams by having customers pay for access rather than product ownership. The subscription economy cuts across many industries -- such as streaming services, software, media, consumer products, and even transportation with the rise of mobility-as-a-service. A new market study by Juniper Research highlights the central challenge facing subscription businesses -- reducing customer churn to build a loyal subscriber installed base. Subscription Model Market Development The Juniper market study provides an in-depth analysis of the subscription business model market landscape and associated customer retention strategies. A key finding is that impending government regulations will make it easier for customers to cancel subscriptions, likely leading to increased voluntary churn rates. The study report cites the