We’ve heard several rumors of an Apple music streaming or subscription service of some kind. Unfortunately, it seems that it may be a long way off. This is because Apple doesn’t want to pay up the royalties that the labels want from them.
According to reports, Apple wants to offer six cents to labels for every 100 songs played, companies like Pandora pay 12 cents for the same number of plays. In other words, Apple wants to pay half the royalty rate.
Furthermore, the New York Times and Bloomberg claim that their own sources make claims along the same lines. It seems that Apple may release it this summer at the earliest. However, Apple may aim to the end of the year. That’s if the service ever becomes available to the public.
Apple definitely wants to do something that can capture the Pandora and Spotify audience. That said, iTunes isn’t doing horribly. The service is partly responsible for an increase in music industry revenues in 2012, which is the first in several years.