iTunes in the sky. That prospect of a cloud-based music service from Apple appears to be moving along, with various reports that the technology giant has signed or is about to sign a cloud-specific licensing deal with the four major record labels.
According to news reports, Apple recently penned a licensing deal with EMI Music, and is on the verge of doing so with Universal Music Group and Sony Music Entertainment. Warner Music Group reportedly signed a contract with Apple several weeks ago.
It's possible that Apple could announce a cloud-based music service with licensing arrangements from the big four at its Worldwide Developers Conference on June 6.
A key driver is the cloud-music services from Amazon.com and Google, neither of which involves a cloud-specific licensing arrangement. Amazon's Cloud Player and Cloud Drive launched in March, and Google's beta version, appropriately called Music Beta, was unveiled earlier this month.
The big difference from the way Apple appears to be heading is that Amazon and Google are both essentially storage vaults that require users to spend time uploading their music collections to the cloud, while Apple may be able to provide or duplicate all or most of a user's music collection in the cloud.
Apple's service could employ "scan and match," which was used by the Lala music service that Apple bought in 2009. This approach could enable iTunes to scan a user's drive for titles and then provide access to those titles on Apple's servers.
Most industry observers expect the major record labels are hoping Apple's model works, so Amazon and Google will then be compelled to similarly license songs from the labels without a big legal battle. Apple has also been rumored to be planning a subscription fee for its cloud music service, which could mean additional revenue all around. Some have...
Posted: 2011-05-19 11:17:16Author:...
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