Atlanta Music Streaming Company Acquired to Power the Beat of Live Streamed Fitness Classes

New York-based Peloton, the live streaming fitness startup that last year hit a billion-dollar valuation, has made its first acquisition in Atlanta-based B2B music technology company Neurotic Media. Terms of the deal were not disclosed.

Peloton has expanded from its original service of live streamed cycling classes with paired hardware to treadmill-based running classes, in-person fitness studios in New York, and international expansion to the U.K. and Canada. Now, it appears they’re getting into media, as well.

Neurotic Media was founded in 2001 and went through the Advanced Technology Development Center (ATDC) program. The company provides a turnkey, white-labeled music distribution platform on a subscription basis, either by developing an entirely new app for brands or powering existing apps with their music API. They curate specific playlists, recommendations and promotions based on their target audience, with the mission is to “help brands influence consumer behavior using popular artists and songs.”

They also power mobile music rewards, allowing a brand to reward customers with song downloads. Clients have included Shazam, Heineken and Bank of America. Earlier this year they were named a Top 40 Innovative Technology Company by the Technology Association of Georgia.

“Peloton’s platform, instructors and community present a rich environment for music ideation and innovation. We’re looking forward to amplifying Peloton’s technology to help Members achieve their fitness goals while discovering great music along the way,” said Neurotic Media’s founder and CEO/President Shachar “Shac” Oren, in a statement.

Oren is a leader in the robust Georgia music industry, serving as President of Georgia Music Partners (GMP), the group that pushed for passage of Georgia’s Music Investment Act in 2017.

Now, he will become a VP at Peloton, reporting to the company’s Head of Music Paul DeGooyer. 

“Our Members have embraced music as central to the Peloton experience and consistently rank it as one of the top aspects of the brand. The addition of Shac and his amazing team to the Peloton family will help us rapidly deploy new music features we know our Members want, along with some unique innovations we think they’ll love,” DeGooyer said in a statement.

The Neurotic Media team will remain in Atlanta and operate as a standalone subsidiary with third-party clients. Peloton, which operates a showroom in Atlanta’s Lenox Mall, has not said whether they will have any additional presence in the state.

Photos via Peloton and Neurotic Media