Apple Wants Cheaper Streaming Deals from Record Labels
Jeremy Tate / 3 years ago
With Music streaming services taking the world by storm – Apple’s iTunes is after more than a decade losing a sizeable chunk of ground to competing services. Spotify and Pandora, among others are all in the hustle to offer the worlds leading music streaming platforms, and the big fruit has some catching up to do. Just like the 99 cent revolution that was iTune’s pricing model, streaming services offer free or extremely affordable pricing options to consumers. It’s a new cut-throat pricing war for record labels and musicians, as services that offer free of charge listening frequently subsidize costs through advertisements.
As you could expect, competition in the space is fierce and the crowded market isn’t looking at slowing down any-time soon. Reports from Re/code suggest that Apple’s newly acquired Beats – founders of Beats Music streaming service – are looking at pushing music labels into a cheaper licensing agreement with the intention of passing the savings directly onto the consumer. It’s expected hat the deal will be ready for launch sometime next year, and will allow Beats Music to offer a starting price point of just $5 per month.
We’re not going to lie – the dawn of music streaming is offering some rather incredible deals for consumers. If you love listening to all your favourite artists, it looks like Apple’s once again making big motions to win back listeners in the forever changing digital landscape of music.
Thanks to Re/code for providing us with this information.