“If Spotify has its way, iPhone owners will no longer be slaves to iTunes, song-by-song payments or finite disk capacity,” Adam Taylor reports for TIME Magazine.

“Last week the Swedish company behind Spotify’s streaming music provider announced plans to release a free iPhone application that will let users listen to songs played directly off of its online service, with no need to download,” Taylor reports. “That would give iPhone users instant access to any of Spotify’s 6 million songs, without taking up precious memory space — way more than the maximum 7,000 tracks that a 32GB iPhone can hold.”

Taylor reports, “Songs can also be temporarily stored, or cached, ready to play during those moments when web connection drops, like when you’re going through a tunnel or underground. Spotify’s new application could change the way iPhone users listen to music. But first, it has to get the okay from Apple.”

“Spotify’s new application won’t be available to everyone, only those who opt for the premium service, which costs $15 a month for unlimited streams… access to pre-releases and better audio quality than the free service, which forces users to listen to ads after every few songs,” Taylor reports. “Spotify hopes to have its new application available on the iPhone within the next few weeks. The trick is getting Apple to approve an application that some observers see as a potential challenger to Apple’s own iTunes.”

“‘We honestly don’t think there is a direct competitor to Spotify, as no one’s doing exactly what we’re doing at the moment,’ Spotify spokesman Jim Butcher says over email. ‘We’re confident that Apple will allow the Spotify app, as we think it will improve the iPhone users’ experience even further.'”

Full article here.

[Thanks to MacDailyNews Reader “Fred Mertz” for the heads up.]