It was reported earlier this month that SFX Entertainment was approximately $500 million in debt before the company declared chapter 11 bankruptcy. Since then it has appeared as though SFX has been taking others down with them, leaving TomorrowWorld in jeopardy, among other companies, but most recently Beatport.
Due to their inability to pay artist royalties, Beatport has recently been forced to watch their numbers sink lower and lower into the red. According to Billboard, salaries and other general expenses rose by $7.5 million during the last year and as a result, Beatport has lost about $5.5 million in revenue.
Whether or not Beatport will turn it around in the new year is unclear at this time, but as the electronic music industry continues to evolve it will be interesting to watch.
