Sep 25, 2019
Peloton prepares to go public while facing a music lawsuit
Music lawyers say each song in a Peloton workout video requires more than one license, often from multiple rights-holders.
The fitness company reported a massive loss last quarter, spurring questions about the need for a revamped business strategy.
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Despite the bumpy rides experienced by other recent tech IPOs, such as Uber and Lyft this year, the exercise company Peloton plans to go public on Thursday, at a price that suggests it’s worth up to $8 billion. But Peloton faces a challenge: It doesn’t just sell exercise equipment, it creates content, which relies on music the company doesn’t own. And since March, Peloton has been embroiled in a lawsuit with music publishers over its use of more than 2,000 tracks.
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