Part of Max Lousada’s vision for Warner Music Group is the marriage of tech and music. To that end, WMG has acquired Sodatone, a 2-year-old tech company that has developed a reputation as an A&R insight tool.

Founders Arjun Bali and Jerry Zhang will continue to run Sodatone.

Sodatone’s proprietary technology combines streaming, social and touring data with the power of machine learning. The platform identifies unsigned talent by tracking early predictors of success, such as the loyalty and engagement of a growing fan-base, and the viral potential of a track or demo.

In addition, Sodatone provides insight into audience reaction to releases from established artists and songwriters. The service enables A&R execs to focus on specific territories as well as global reach.

“At Warner Music, we’re creating an entrepreneurial environment where art and technology thrive together,” said Lousada, CEO, Recorded Music. “Arjun and Jerry are two talented pioneers, whose passion for algorithms and trends is matched by our love for music and culture. They understand that A&R instinct has always been informed by different types of data, and have created a tool that brings new sophistication and foresight to creative decisions. As the youngest member of our growing family of brands, Sodatone will help to differentiate us in the search for the superstars of tomorrow.”

Bali and Zhang will report to Vinnie Freda, WMG’s Chief Data Officer, and collaborate closely with A&R executives across WMG’s recorded music and music publishing operations.

Sodatone was originally hosted at the Music Den incubator at Toronto’s Ryerson University and the University of Waterloo's Velocity program.