Gracenote

About Gracenote

Gracenote, Inc. operates as a provider of entertainment metadata and content recognition technologies for a global client base that includes leading media companies, consumer electronics manufacturers, and automotive brands. The company's origins trace back to 1993, with an open-source project called CDDB (Compact Disc Database) created by Ti Kan and Steve Scherf. This project addressed the lack of digitally encoded information on CDs by developing a technology to identify discs based on their Table of Contents. The company was formally founded in 1998, with Scott Jones, Ty Roberts, Steve Scherf, Ann Greenberg, and Dale Roberts listed as founders. Scott Jones, an experienced innovator, previously co-founded Boston Technology, where he was instrumental in developing a widely used voicemail system.

Gracenote's business model is centered on licensing its vast, internet-accessible database of entertainment information and its proprietary software to other businesses. Its clients utilize this data and technology to power their own products and services, such as media players, streaming platforms, and in-car infotainment systems. The company serves a diverse market, including mobile, automobile, home electronics, and PC sectors. Major brands like Apple, Spotify, Comcast, and Tesla have utilized Gracenote's services to enhance user experiences. The company's revenue is generated through these licensing agreements, with an estimated annual revenue of $1.3 billion.

The company's offerings have expanded significantly beyond its initial music recognition focus. Gracenote now provides comprehensive metadata for video (TV shows and movies) and sports, alongside its core music data. Its product suite includes Automatic Content Recognition (ACR), which can identify content playing on various devices, acoustic fingerprinting for digital music files, and digital video fingerprinting. For the automotive sector, Gracenote Auto and Nexus Auto platforms enable integrated media experiences in vehicles, covering radio, streaming music, and video. The company also offers solutions for content development and distribution, providing analytics and industry trend data to help studios and creators make informed decisions. A key component of its ecosystem is the Gracenote ID, a standardized identifier used across the supply chain to organize and track entertainment content.

Gracenote has undergone several major ownership changes, reflecting its strategic value in the evolving media landscape. Sony Corporation of America acquired the company in 2008. In 2014, Tribune Media purchased Gracenote and merged it with Tribune Media Services, significantly expanding its video metadata capabilities. This was followed by a series of acquisitions to bolster its global presence and enter the sports data market, including What's-ON, Baseline, Infostrada Sports, and SportsDirect. In 2017, Nielsen Holdings acquired Gracenote for approximately $560 million. As of October 2022, Nielsen, including its Gracenote subsidiary, was acquired by a private equity consortium.