Founded in Stockholm, Sweden in 1994 by Ernst Nathorst-Böös, Marcus Zetterquist, and Peter Jubel, Reason Studios — originally known as Propellerhead Software — helped reshape desktop music production. The company's first release, ReCycle, introduced the REX file format for tempo-independent loop editing, which became an industry standard. In 1997, ReBirth RB-338 brought software emulations of Roland's TB-303, TR-808, and TR-909 to the desktop, earning recognition as one of the most important virtual instruments in the history of electronic music. The flagship Reason DAW followed in 2000, distinguished by its virtual rack interface with drag-and-drop cable routing that mimics a physical hardware studio.

Reason's built-in instrument lineup includes the Thor polysonic synthesizer, Europa shapeshifting synthesizer, Subtractor analog-modeled synth, Malström graintable synthesizer, Complex-1 modular synthesizer, Algoritm FM synthesizer, and the Kong drum designer, among dozens of other devices. The Rack Extensions platform, launched in 2012, opened the ecosystem to third-party developers. The company also released Figure, a popular iOS app for touch-based loop creation. In 2019, Propellerhead Software rebranded as Reason Studios to align the company name with its flagship product, and Reason gained the ability to run as a VST/AU/AAX plugin inside other DAWs.

Reason has a strong following among electronic music producers and beatmakers. Artists and producers across hip-hop, electronic, and indie genres have used Reason as their primary production tool, with the software earning praise from publications like Computer Music for having "changed the face of desktop music production."

Reason Studios has 13 products cataloged on Equipboard, including DAW Software, Synth Plugins, and Instrument Bundles. Their gear is featured by 162 artists, with the strongest followings in Electronic, Rock, and Pop. Notable users include Andrew Huang, Skrillex, and Tyler, The Creator.