Deals for Apple Custom Radio Service 'Nowhere Near to Being Completed'

[MacRumors]

Back in early September, news broke in several publications about Apple's plans for a Pandora-like custom radio service, with the company reportedly seeking to arrange deals with music labels to allow more flexibility than permitted under the mandatory licensing used by Pandora. At the time, a launch was said to be "months away".

By late October, reports were indicating that talks remained in limbo with Apple and the major music labels remaining far apart in their licensing offers, although Apple was reportedly still hoping for an early 2013 launch.

As part of a report noting that Pandora's stock plunged yesterday after issuing weak guidance for the upcoming quarter, CNET says that Apple still has not made any significant progress with the major music labels.

The rumors continue to swirl but multiple music industry sources have told CNET in recent weeks that the deal that Apple has offered for iRadio has left the major record companies -- Sony Music Entertainment, Warner Music Group and Universal Music Group -- cold.

My sources say that, at a minimum, a deal with all the majors is nowhere near to being completed. Even if Apple sweetens its offer or the big labels change their mind tomorrow, these deals take a while to put to bed. Even in the best case scenario, it will still be a while before we see iRadio.

Eddy Cue has long been Apple's "master negotiator" for content deals, a role that he has reportedly filled with a calm yet firm demeanor that has made him very well respected in the business. As Apple's content empire has grown, Cue's role has expanded to the point where it now encompasses the iTunes Store, App Store, iCloud, iBookstore, iAd, Siri, and Maps.

Article Link: Deals for Apple Custom Radio Service 'Nowhere Near to Being Completed'

[Squilly]

Originally Posted by MacRumors

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Back in early September, news broke in several publications about Apple's plans for a Pandora-like custom radio service, with the company reportedly seeking to arrange deals with music labels to allow more flexibility than permitted under the mandatory licensing used by Pandora. At the time, a launch was said to be "months away".

By late October, reports were indicating that talks remained in limbo with Apple and the major music labels remaining far apart in their licensing offers, although Apple was reportedly still hoping for an early 2013 launch.

As part of a report noting that Pandora's stock plunged yesterday after issuing weak guidance for the upcoming quarter, CNET says that Apple still has not made any significant progress with the major music labels.Eddy Cue has long been Apple's "master negotiator" for content deals, a role that he has reportedly filled with a calm yet firm demeanor that has made him very well respected in the business. As Apple's content empire has grown, Cue's role has expanded to the point where it now encompasses the iTunes Store, App Store, iCloud, iBookstore, iAd, Siri, and Maps.

Article Link: Deals for Apple Custom Radio Service 'Nowhere Near to Being Completed'

Eh. I don't see why people would want to switch over. Yeah, it's Apple-built -- big deal. Comparison: maps. If Google maps was still around, as is Apple maps, I'll bet 99% of those people will stick with Google - they've had more time to develop it. Same with Pandora and all the other companies out there doing this.

[basesloaded190]

Maybe with this time, they can change their plan and make something more Spotify like, instead of Pandora like.

[rmwebs]

Originally Posted by basesloaded190

Maybe with this time, they can change their plan and make something more Spotify like, instead of Pandora like.

I cant see Apple being able to match Spotify. The prices, the signed on artists, etc - there's very little room for improvement with Spotify, and I dont think many would really move to an iTunes version just because it's Apple.

I stopped using iTunes about 2 years ago, and have used Spotify daily since. The only 1 feature I could even think of wanting is a 'mini' player like the new iTunes has

For me- there's no point buying stuff on iTunes anymore. Spotify is cheap enough to just use as-is, and with the speed of mobile internet access, you can still have a decent quality stream whilst on the go, and can still keep a copy of it on your iphone/ipad without owning the song as part of your spotify playlist.

[apfeljonas]

I just want an FM Radio on the iPhone...the GS3 has it!

[rmwebs]

Originally Posted by apfeljonas

I just want an FM Radio on the iPhone...the GS3 has it!

I'd rather have a DAB radio chip. The US is very behind when it comes to digital Radio. It's quite widely used in Europe and Asia now, and is far superior.

That being said, it's still not really needed. I cant comment about other countries, but in the UK all major and most minor radio stations belong to a consortium, and they basically fund an online radio service for all stations, including the BBC. They also share a mobile app, meaning you can listen to pretty much any radio station in the country wherever you are.

[Otterblue]

Let's hope it'll be available in Canada unlike Pandora and Spotify.

[realeric]

Eddy sold Apple stock.

[SmileyBlast!]

Originally Posted by Otterblue

Let's hope it'll be available in Canada unlike Pandora and Spotify.

Yeah what's up with that?
How does Canada even influence the app submission process?
App Store Reviewer:
OK, I'm about to OK these music streaming apps...
App Store Reviewer Mgr.:
No Wait! Stop! The Canadians don't want free music! If we OK these apps they block our whole store.

How does it work? Is there a Google Android Lobbyist or something?
How come other internet radio apps are available?

Oh no, I've said too much.

[basesloaded190]

Originally Posted by rmwebs

I cant see Apple being able to match Spotify. The prices, the signed on artists, etc - there's very little room for improvement with Spotify, and I dont think many would really move to an iTunes version just because it's Apple.

I would. If Apple could offer a yearly subscription to have stream any music from iTunes and be able to move things to listen to offline, I would sign up in a heartbeat. Having something like that integrated into OSX and iOS would be so much better than what Spotify is offering for desktop and mobile apps

[rmwebs]

Originally Posted by basesloaded190

I would. If Apple could offer a yearly subscription to have stream any music from iTunes and be able to move things to listen to offline, I would sign up in a heartbeat. Having something like that integrated into OSX and iOS would be so much better than what Spotify is offering for desktop and mobile apps

So if Apple charged more than Spotify, or didn't have as many artists signed up to it, you'd still sign up just because 'its Apple'?

(also, FYI iTunes is no more 'integrated' into OS X than any other app you would download)

[Allenbf]

Originally Posted by rmwebs

I cant see Apple being able to match Spotify.

For me- there's no point buying stuff on iTunes anymore. Spotify is cheap enough to just use as-is, and with the speed of mobile internet access, you can still have a decent quality stream whilst on the go, and can still keep a copy of it on your iphone/ipad without owning the song as part of your spotify playlist.

Yup, same here. My oldest daughter alone was spending about $250 per year or more on iTunes cards, just for music. Since Spotify, me, my wife and daughter spend $10 per month and utilize offline playlists. Works like a charm and saves $$.

Spotify is quite awesome

[mp0890]

Originally Posted by rmwebs

I cant see Apple being able to match Spotify. The prices, the signed on artists, etc - there's very little room for improvement with Spotify, and I dont think many would really move to an iTunes version just because it's Apple.

I stopped using iTunes about 2 years ago, and have used Spotify daily since. The only 1 feature I could even think of wanting is a 'mini' player like the new iTunes has

For me- there's no point buying stuff on iTunes anymore. Spotify is cheap enough to just use as-is, and with the speed of mobile internet access, you can still have a decent quality stream whilst on the go, and can still keep a copy of it on your iphone/ipad without owning the song as part of your spotify playlist.

I want to rely solely on Spotify, I pay for premium, but I hate the fact that in the last 2 months every major artist album release I've anticipated wasn't available on release day and still isn't.

[Tiger8]

Originally Posted by rmwebs

For me- there's no point buying stuff on iTunes anymore.

And this is exactly why Apple is working on this. The tides are shifting (again) and people are no longer buying music, digital or not. To me it has to do with the fact that most new music is crap and super-dispoable. For example, no need to buy or download Rihana's latest album, she releases one every 6 months, and the good tracks get released on radio so you listen to them until you are sick of them, then move on.

[powers74]

Originally Posted by Tiger8

And this is exactly why Apple is working on this. The tides are shifting (again) and people are no longer buying music, digital or not. To me it has to do with the fact that most new music is crap and super-dispoable. For example, no need to buy or download Rihana's latest album, she releases one every 6 months, and the good tracks get released on radio so you listen to them until you are sick of them, then move on.

If I could double-like this, I would.

[charlituna]

Originally Posted by Tiger8

And this is exactly why Apple is working on this. .

You mean that is why folks think Apple must be working on this. We ave yet to have real proof they are or ever intend to

----------

Originally Posted by Rogifan

Hmm...perhaps Cue's portfolio is too big? He has a lot on his plate, and plenty of issues with maps, Siri, iCloud, iMessage, etc. throw in negotiations with record companies, cable TV companies, content providers, etc. that's a lot.

Yeah and he has to do it all by himself. Just like Jony does all the designs, tests them and rights all the software himself

----------

Originally Posted by MacFoodPoisoner

Weren't Eddy's "masterful negotiating skills" responsible for apple colluding with several publishers thus managing to increase the prices of ebooks and hurt consumers worldwide because they wanted their guaranteed 30% cut off of each book sold? I wonder how "well respected in the business" someone should be when they have both the DOJ and the European Union authorities going after them... I would put that person down as a bit of a crook, but that's just my opinion.

The DOJ hasn't actually determined that Apple was party to any collusion.

But don't let facts get in your way

[Allenbf]

Originally Posted by basesloaded190

Maybe with this time, they can change their plan and make something more Spotify like, instead of Pandora like.

This.

Spotify > Pandora/I heart Radio

[JAT]

I Heart Radio.

Why are we still talking about this?

[pmasters]

Who cares? Apple cannot even keep their damn IOS 6 and Mac apps stores running so users can grab their updates. 2 days in a row. I have no faith they can firmly offer any additional services when the one they offer now sucks so freaking bad.

[KdParker]

Originally Posted by pmasters

Who cares? Apple cannot even keep their damn IOS 6 and Mac apps stores running so users can grab their updates. 2 days in a row. I have no faith they can firmly offer any additional services when the one they offer now sucks so freaking bad.

What are you talking about? Been updating without any issues at all.

[Radio]

This is why spotify - pandora - rdio are destroying iTunes making it irrelevant.


I know so many people who now stream.

People don't buy as much on iTunes

[gregwyattjr]

C'mon Eddy. Come through on this for us!

[willed]

Meh.

I only ever use iTunes to sync my iPhone now. Spotify Premium is lightyears ahead of iTunes. Comes with streaming of pretty much all music ever on demand, internet radio and a great app for iPhone. iTunes Match seems fiddly and a waste of time by comparison.

[kingtj]

iTunes has grown quite a bit over the years, too. It started out only selling music and now you use it as your one-stop digital store for iPhone/iPod apps, e-books, TV shows and movies too.

I don't think streaming radio could ever "destroy" all of that?

Bottom line, though: One service requires a constant internet connection and the other (playing MP3 music you bought and saved on your device) doesn't.

Spotify and Pandora might be hurting iTunes music sales to an extent, but that doesn't mean it makes good financial sense for Apple to throw a bunch more money at imitating them.

I don't really see where such a thing would fit well with Apple's existing offerings either? I mean, what's wrong with the $25 a year iCloud music subscription so those who want to can stream their purchased music from anywhere? At least it's not like Pandora, where you're only served up what THEY want you to hear, with little control beyond giving songs a "thumbs up" or "thumbs down".

If Apple started some kind of streaming radio, it seems like it would just compete with themselves for music sales?

Originally Posted by Radio

This is why spotify - pandora - rdio are destroying iTunes making it irrelevant.

I know so many people who now stream.

People don't buy as much on iTunes

[Radio]

Originally Posted by kingtj

iTunes has grown quite a bit over the years, too. It started out only selling music and now you use it as your one-stop digital store for iPhone/iPod apps, e-books, TV shows and movies too.

I don't think streaming radio could ever "destroy" all of that?

Bottom line, though: One service requires a constant internet connection and the other (playing MP3 music you bought and saved on your device) doesn't.

Spotify and Pandora might be hurting iTunes music sales to an extent, but that doesn't mean it makes good financial sense for Apple to throw a bunch more money at imitating them.

I don't really see where such a thing would fit well with Apple's existing offerings either? I mean, what's wrong with the $25 a year iCloud music subscription so those who want to can stream their purchased music from anywhere? At least it's not like Pandora, where you're only served up what THEY want you to hear, with little control beyond giving songs a "thumbs up" or "thumbs down".

If Apple started some kind of streaming radio, it seems like it would just compete with themselves for music sales?

but they already do compete with themselves.

they knew the ipad would hurt pc sales and it did but they accepted that pcs were dying anyways.

same with music

imagine a service - FREE - that provides u with all the music u want to listen to simply by owning an iphone?!?

why that would get the word out better than spotify!