Apple reportedly exploring on-demand music streaming service, iTunes for Android
In a supposed bid to bolster declining iTunes music sales, Apple is in talks with major record labels to launch a Spotify-like on-demand streaming service, as well as an official iTunes app for the Android mobile operating system.
Citing sources familiar with the talks, Billboard reports Apple is testing the waters of a possible subscription-based music streaming service as well as an Android iTunes app.
The discussions are purportedly part of a larger strategy to fend off a steep decline in U.S. iTunes downloads. Research from Nielsen SoundScan shows digital album sales were down 13 percent for the week of Mar.9, while per-track sales are tracking down 11 percent from the same time last year. A report from early March claimed Apple is also in talks with labels to release more exclusive content on a windowed basis, which would limit album sales to iTunes for a certain period of time.
"They are feeling out some people at labels on thoughts about transitioning its customers from iTunes proper to a streaming service," said an unnamed source from a major label. "So when you buy a song for $1.29, and you put it in your library, iTunes might send an e-mail pointing out that for a total of, say, $8 a month you can access that song plus all the music in the iTunes store. It's all in the 'what if' stage."
While talks are just now getting underway, some believe Apple will make iTunes Radio a standalone app, breaking it out of the iOS Music app where it currently resides.
It was reported earlier in March that iTunes Radio managed to carve out a larger portion of the streaming music market than Spotify, a major force in the sector. Of course, Apple's solution boats a free-to-use feature and comes with a massive installed user base.
Despite the initial influx of users, some of whom are granted on-demand listening access via iTunes Match, Pandora still dominates with nearly one third of the market. The service took a marginal hit when iTunes Radio first launched, but has since recovered and is back to a positive growth model. In addition, some 40 percent of Pandora listeners also listen to iTunes Radio.
In light of an erosion of downloads by all-you-can-eat streaming services like Spotify and Beats Music, iTunes still holds considerable sway in the industry, generating more than 40 percent of U.S. recorded music sales revenue. That represents a huge bargaining chip for Apple in pushing for an expansion of its own streaming service.
Citing sources familiar with the talks, Billboard reports Apple is testing the waters of a possible subscription-based music streaming service as well as an Android iTunes app.
The discussions are purportedly part of a larger strategy to fend off a steep decline in U.S. iTunes downloads. Research from Nielsen SoundScan shows digital album sales were down 13 percent for the week of Mar.9, while per-track sales are tracking down 11 percent from the same time last year. A report from early March claimed Apple is also in talks with labels to release more exclusive content on a windowed basis, which would limit album sales to iTunes for a certain period of time.
"They are feeling out some people at labels on thoughts about transitioning its customers from iTunes proper to a streaming service," said an unnamed source from a major label. "So when you buy a song for $1.29, and you put it in your library, iTunes might send an e-mail pointing out that for a total of, say, $8 a month you can access that song plus all the music in the iTunes store. It's all in the 'what if' stage."
While talks are just now getting underway, some believe Apple will make iTunes Radio a standalone app, breaking it out of the iOS Music app where it currently resides.
It was reported earlier in March that iTunes Radio managed to carve out a larger portion of the streaming music market than Spotify, a major force in the sector. Of course, Apple's solution boats a free-to-use feature and comes with a massive installed user base.
Despite the initial influx of users, some of whom are granted on-demand listening access via iTunes Match, Pandora still dominates with nearly one third of the market. The service took a marginal hit when iTunes Radio first launched, but has since recovered and is back to a positive growth model. In addition, some 40 percent of Pandora listeners also listen to iTunes Radio.
In light of an erosion of downloads by all-you-can-eat streaming services like Spotify and Beats Music, iTunes still holds considerable sway in the industry, generating more than 40 percent of U.S. recorded music sales revenue. That represents a huge bargaining chip for Apple in pushing for an expansion of its own streaming service.
Comments
Then again how many Android users are connected to the internet?
If you says so.
am I to assume that Windows Media Player is some awesome exclusive I abandoned??
back on topic:
So how exactly is a streaming service going to improve song downloads???
iMessage for Android. FFS!
Wouldn't be optimistic about this, even if it's true; Apple are best when they stick to their own platforms. Every bit of Windows software they've released has been disappointing and not at all up to the standard of the Mac OS counterpart, and their troubles with web services are well known. I wouldn't expect any adventures with Dalvik to yield better results.
The at same idea worked well to introduce Windows users to good software, and accelerate switching, perhaps it will work again.
Then again how many Android users are connected to the internet?
This is true. I guess hell can freeze over again, but this may lead to a lot of Android based iPod clones running iTunes.
If they do this for Android, they should do it for Windows Phone as well.
I think Apple may be about to move beyond the basic functionalities of iPods and iPhones and into bigger better things.
iTunes for Windows desktops worked out nicely. This should workout as well but Android is one hell of a fragmented platform to support. Windows Phone may be much easier.
Why do people still think iTunes is DRM? Music has been non-DRM for nearly 10 years now!
http://www.billboard.com/biz/articles/news/digital-and-mobile/5944778/apple-mulls-launching-spotify-rival-android-app-as
The only reason Apple made itunes for Windows is you needed a PC to use an iPod and most people used a Windows PC. How does itunes on Android sell Apple hardware.
Wouldn't it make sense for apple to somehow let us iTunes Radio w/o a data charge? Hook your iPhone up to your car stereo through a USB and listen on the road with no data charge. Why can't apple do that?
I do say so. iTunes almost made me give up on the iPhone entirely. Its amazing how badly Apple coded the windows version. A resource hogging bloated programme that made me shudder with horror each time I used it (caveat this is only the window version)
Tell me about it! iTunes was one of the reasons why I no longer have any iDevices save one iPod which I don't even bother updating any more. iTunes was the reason why I bought an iPod in the first place a decade ago. I thought iTunes was the cat's whisker back then because of all the cool things it did (change the ID3 tags while a CD was getting ripped or a song was playing. Brilliant!). But all the problems of iTunes never got fixed and it just got more and more bloated with constant updates making it even bigger. When I bought my iPad, I had to connect it to iTunes just to get it started. WTF!
That was on Windows. iTunes on my iPod Touch was also frustrating. Google Play Music is just sooooo much better than iTunes was. I have no idea how good it is now. I sold my iPod Touch 3 years ago. Maybe it's improved now.
The only reason Apple made itunes for Windows is you needed a PC to use an iPod and most people used a Windows PC. How does itunes on Android sell Apple hardware.
I suppose it could bring more people into the Apple ecosystem in the long run. As Phil Schiller once said "Once we get people interested in iPods they might look at other products we sell." (paraphrasing)
You'll have to download it again every time you press "play." Isn't that exciting?
If you just want to listen to the same songs over and over, then yes.
But the ability to listen to any song ever at any moment is pretty compelling if you have wide-ranging listening habits.