The source of Pandora's growing pains

Pandora is eating away at traditional broadcast radio's market share, but its inability to turn a profit despite massive revenue growth is down to one simple factor.

Digital radio disruptor Pandora Media reported its quarterly results this past Friday (AEST), and the results show that despite robust growth in all key metrics the company is challenged by high content acquisition costs, which make it increasingly difficult to turn this user and revenue growth into a profitable position.

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