A social music networking site that was created in a bedsit has been sold for $280 Million (£140).

Last.fm which provides personalised internet radio and music video to members based on their individual tastes, has been bought by American media company CBS which owns broadcast and cable television networks in the US as well as one of the largest radio networks.

Founded in 2002, Last.fm creates musical communities amongst its 15 million users by pairing up listeners, artists and music.

This is done through its “scrobbling” technology and social recommendation engine which works by building a profile of each user’s musical taste and then adding personalised song recommendations to each user’s music lists.

It also has an “Events” listing that recommends over 200,000 festival and music events globally to its members.

According to Richard Jones, one of the three founders of the site, the deal between the two companies’ means there will be access to “more resources.”

The deal will also mean the company should have “more clout" in negotiating licensing deals.

“This deal with CBS gives us a chance to really make Last.fm shine, and gives us more flexibility than other funding options would for doing all the crazy stuff we’re had scribbled on whiteboards for years.

“CBS understands the Last.fm vision, the importance we place on putting the listener in charge, the vibrant and vocal community, the obsession with music stats, and our determination to offer every song ever recorded,” Richard Jones said in a blog on the LastFM site.

Mr Jones also reassured members on the site that they would not affect the “openness of [the Last.fm ] platform and its approach to privacy.”

Recently, Last.fm also announced that it had struck deals with several major record labels that would enable it to offer a similar service with music videos.