Spotify will purchase podcast advertising platform Megaphone for $235 million, according to The Los Angeles Times.

“The acquisition of Megaphone represents the next step in Spotify’s expanding the possibilities of this intimate and screenless medium,” the company announced on its website. “At the top of the year, we launched Streaming Ad Insertion, an innovative podcast ad technology that delivers the intimacy and quality of traditional podcast ads with the precision and transparency of modern-day digital marketing. The results of Streaming Ad Insertion have been encouraging to say the least and have further validated our commitment to the significant potential of podcast advertising.”

Spotify says the move will enable advertisers to realize the full potential of podcasts, while creating added value for podcast publishers.

“Together, Spotify and Megaphone will offer podcast publishers innovative tools that will help them earn more from their work,” Spotify said via a company release. “This includes the opportunity to opt in to have their content monetized, matching their loyal listeners with even greater demand from advertisers. And we’re excited to share that, once we come together, we will soon make Streaming Ad Insertion available to podcast publishers on Megaphone, the first time this technology will be made available to third-parties. That means that podcast publishers will be able to offer more-valuable podcast audiences to advertisers based on confirmed ad impressions (i.e., that their ad was actually heard).”

Spotify’s podcast catalog includes more than 1.9 million titles, including popular series from Michelle Obama and Joe Rogan.

“From groundbreaking authentic voices to can’t-miss news and information, podcasting is one of the most exciting mediums of our time,” says Spotify. “We are excited to collaborate with Megaphone to drive this business forward.”