SoundCloud has released new financial reports which show that its losses have doubled between 2013 and 2014.
Combined losses over the two years amounted to €62.1 million (R1.1 billion).
Ars Technica reported that the Berlin-based audio streaming service and social network has struggled to turn its massive user base into a revenue stream.
Despite being popular among independent producers and DJs around the world, as a “freemium” service most people use the site without paying.
In light of continuing losses and an average revenue per user of 11.2 US cents, the company’s board of directors wrote that there are “material uncertainties facing the business”.