British Audio Company Kano Seeks Funding After Ending Business Ties with Kanye West
Kano, a British audio and computing hardware start-up, seeks to raise equity funding through a crowdfunding campaign on Crowdcube following its split with Kanye West, also known as Ye.
The company aims to raise $900,000 from individual investors in the UK and Europe and plans to expand the crowdfunding to the US. The crowdfunding campaign will enable ordinary users to own a slice of Kano alongside institutional backers such as Microsoft and billionaire investor Jim Breyer’s Breyer Capital.
Initially created to help children learn to code with easy-to-build computer kits. Kano has shifted its focus to developing audio products. Its Stem Player is a puck-shaped device allowing users to split songs into tracks such as vocals, bass, or drums. The company has agreed to tie-ups with big brands to launch a few products, including a Harry Potter wand. That users could customize through code and a coding kit inspired by Disney’s “Frozen.”
Kano no longer sells any of its products in big-box retailers.
In 2019, Kano’s CEO Alex Klein met with Kanye West to discuss the beginnings of what eventually became the Stem Player. Originally named the “Donda Stem Player,” a reference to West’s 10th studio album, Donda. Ye’s 11th album, Donda 2, was release exclusively on the Stem Player on 23 February 2022.
However, the tie-up with West ended following his antisemitic outbursts. In October, West made several harmful remarks about Jewish people, including repeated attacks on Jewish media. Invoking the antisemitic claim that Jewish people disproportionately control the media. According to Klein, one of Ye’s advisors said the rapper couldn’t acquire Kano “because one of the investors is Jewish.”
Ye had verbally committed to purchasing Kano outright for $80 million early last year. But an acquisition didn’t materialize, and all the advisors involve were fire. Kano’s CEO, Alex Klein, says the company is now seeking to raise funds through the crowdfunding campaign to chart a path forward after cutting business ties with Kanye West. The campaign will enable individual investors to become a part of the company and its future direction.