Apple in talks with music labels on iTunes music subscription service

“Apple is talking with the major record labels about a subscription music service that would give customers unlimited access to songs for a monthly fee, sources told The Post,” Claire Atkinson reports for The New York Post.

“One source said the service could have tiered pricing ranging from $10 to $15, although there are issues to be ironed out, including how much music would be included in each tier and how long consumers would be able to access that content,” Atkinson reports. “One top music exec said the labels are supportive of the idea and believe it could re-energize digital music sales. While album downloads have been on the rise, single track sales were flat in the first half of 2010 compared to the previous year.”

MacDailyNews Take: Gee, wonder why?
After music labels’ greedy track price hike from 99-cents to $1.29, U.S. digital song sales drop – April 09, 2010
Tracks that music cartel hiked to $1.29 on Apple’s iTunes Store show chart declines – April 10, 2009
Amazon follows Apple to $1.29 music tracks – April 08, 2009
Hit tracks to cost $1.29 at Apple’s iTunes Store starting April 7 – March 27, 2009

Atkinson continues, “Speculation that Apple would introduce a subscription service has been kicking around for years but the news that music service Spotify will be part of Microsoft’s Windows Phone 7 release on Oct. 11 revived industry chatter.

Read more in the full article here.

60 Comments

  1. The part of subscriptions I like is not having to store all that music. I must have 300 records still, at least triple that many CD’s, cassettes still, and digital downloads. Wouldn’t it be nice just to have access to the entire world of music without having to worry about breaking or losing devices or physical media? Without having to buy hard drives, record needles, and using lots of space in your home? for $15 a month, it’s well, well worth it for the person with a large collection.

  2. Hey, Steve said the Newton was dead and what happened?

    I’ll tell you what happened. Hand held portable computers up the ying yang, that’s what.

    Things change, shit happens.

  3. Hey, Steve said the Newton was dead and what happened?

    I’ll tell you what happened. Hand held portable computers up the ying yang, that’s what.

    Things change, shit happens.

  4. I agree that the rent vs. buy argument is pretty old. (I say that as mostly an “own” person.)

    Ultimately, this will be decided by how much interest Apple believes there is and what the labels want. So far, the subscription model has taken off. But then, no one’s made a really compelling experience around it — Apple could.

    In terms of bandwidth and cloud streaming… we’re not totally there yet… but think about this more as cloud syncing instead of streaming. You’re away from home but you can sync whatever you want on your iPhone from the cloud or your local machine through the Internet (“cloud”). Bandwidth can handle that.

  5. I agree that the rent vs. buy argument is pretty old. (I say that as mostly an “own” person.)

    Ultimately, this will be decided by how much interest Apple believes there is and what the labels want. So far, the subscription model has taken off. But then, no one’s made a really compelling experience around it — Apple could.

    In terms of bandwidth and cloud streaming… we’re not totally there yet… but think about this more as cloud syncing instead of streaming. You’re away from home but you can sync whatever you want on your iPhone from the cloud or your local machine through the Internet (“cloud”). Bandwidth can handle that.

  6. “n terms of bandwidth and cloud streaming… we’re not totally there yet… but think about this more as cloud syncing instead of streaming. You’re away from home but you can sync whatever you want on your iPhone from the cloud or your local machine through the Internet (“cloud”). Bandwidth can handle that.”

    If I sync it, it will consume the same bandwidth (Downloading) as it would streaming..

    It all still adds up in this era of metered bandwidth.

  7. “n terms of bandwidth and cloud streaming… we’re not totally there yet… but think about this more as cloud syncing instead of streaming. You’re away from home but you can sync whatever you want on your iPhone from the cloud or your local machine through the Internet (“cloud”). Bandwidth can handle that.”

    If I sync it, it will consume the same bandwidth (Downloading) as it would streaming..

    It all still adds up in this era of metered bandwidth.

  8. ome may find the $1.29 acceptable, I don’t. Back before digital (CDs) killed the vinyl 45rpm single, I got 2 songs for just over a dollar, the hit, and the B-side. Those singles included production, packaging, shipping, and all the other expenses tied to a physical product.

    In the digital age, .99 is just right considering there is no physical media to produce, no packaging, no shipping and etc. Oh, and its a single song, no B-side included.

    Screw the record companies. I haven’t purchased a single song from iTunes since the price hike. No, sorry greedy record bastages, I haven’t purchased many CDs either.

    Maybe the jr. High crowd will not cringe at $1.29 and higher, but this slightly older person has other things to spend his money on.

  9. ome may find the $1.29 acceptable, I don’t. Back before digital (CDs) killed the vinyl 45rpm single, I got 2 songs for just over a dollar, the hit, and the B-side. Those singles included production, packaging, shipping, and all the other expenses tied to a physical product.

    In the digital age, .99 is just right considering there is no physical media to produce, no packaging, no shipping and etc. Oh, and its a single song, no B-side included.

    Screw the record companies. I haven’t purchased a single song from iTunes since the price hike. No, sorry greedy record bastages, I haven’t purchased many CDs either.

    Maybe the jr. High crowd will not cringe at $1.29 and higher, but this slightly older person has other things to spend his money on.

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