Native Instruments files for insolvency
The Berlin-based music technology company Native Instruments, also the parent company of iZotope, Plugin Alliance, and Brainworx, has filed for insolvency.
(Image: Native Instruments)
Native Instruments, the Berlin-based company renowned worldwide as a provider of music software and hardware, has filed for insolvency proceedings. This is evident from publicly accessible documents from the District Court of Berlin-Charlottenburg, according to which corresponding applications were filed on January 26 and 27 under file numbers 3612 IN 603/26, 3612 IN 602/26, and 3612 IN 604/26 for various parts of the company. According to the documents, an insolvency administrator has already been appointed, and Native Instruments itself has not yet commented on the proceedings.
The insolvency filing follows some turbulent years. The company already experienced a difficult phase in 2019 and 2020, which included layoffs and restructuring, as well as criticism from former employees. In 2020, the company's co-founder and CEO, Daniel Haver, as well as the then Chief Innovation Officer and President, Mate Galic, stepped down from their leadership positions. In 2021, the private equity firm Francisco Partners acquired a majority stake in Native Instruments.
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Failed Strategies
To reposition itself, Native Instruments acquired three other music software brands over the years – iZotope (known for products like Ozone and RX), Brainworx, and Plugin Alliance – and united them with its brand under the umbrella of “Soundwide.” However, in mid-2023, the company had to admit in a statement that the new name had not gained significant recognition. Consequently, the Berlin-based company reverted to Native Instruments as the common brand name.
A platform launched in 2018 called Sounds.com, on which Native Instruments offered music creators loops, samples, and sound packs of all genres, was abruptly discontinued in mid-2023, which led to understandable frustration among customers.
Critics have primarily criticized the high output of sample libraries in recent years, which they felt lacked genuine innovation. Even new versions of well-known products like Massive X, a re-release of the legendary wavetable synthesizer Massive, did not meet with universal enthusiasm in the community. On the other hand, Native Instruments had recently revived its popular soft synth Absynth with a new version that was praised by critics. However, this was apparently no longer enough.
It remains to be seen how Native Instruments will proceed – especially for the users who utilize the company's products in their music production. (nij)
