Apple Still Negotiating With Sony and Warner Over iRadio Royalties

Discussion in ' News Discussion' started by MacRumors, May 9, 2013.

  1. macrumors bot


    Apr 12, 2001

    Apple is still in negotiations with Sony and Warner over its iRadio streaming music service, reports the Financial Times. Apple had offered roughly 6 cents per 100 tracks streamed, but later reportedly raised this to 12.5 cents per 100 tracks -- similar to the rate paid by Pandora.

    Although the company has reached an agreement with Universal Music, the largest record label, the FT claims other labels are still looking for better terms. Apple is reportedly working hard at reaching a deal and wishes to launch the 'iRadio' service at some point this summer, perhaps at WWDC in June.
    The FT notes that Apple is intentionally not launching an on-demand service like Spotify in order to avoid cannibalizing purchases from its iTunes Music Store. Instead, the iRadio service will allow customers to discover new music and likely direct listeners to the iTunes Store to buy music they enjoy.

    Article Link: Apple Still Negotiating With Sony and Warner Over iRadio Royalties
  2. macrumors member

    Jun 3, 2012
  3. Guest

    Jul 12, 2012
    If it isn't one company that's greedy, it's about being pro consumer for once! Without us, these companies are no where.
  4. macrumors 68000

    Four oF NINE

    Sep 28, 2011
    I hope licensing issues are resolved sooner rather than later, Apple needs this
  5. macrumors member

    Jun 13, 2012
    As a high school student, I can say everyone I know quit using iTunes and uses Spotify exclusively now. That's what Apple needs to compete with, NOT Pandora. In other words, you should always be able to pick the song like Spotify.
  6. macrumors 65816

    Apr 15, 2010
    Nottingham, England
    An on demand Spotify like service is the exact thing that I would absolutely love! I love Spotify but for some reason even in offline mode it seems to drain my battery a lot faster than the regular music app.
  7. macrumors 65816


    Dec 7, 2001
    Charleston, SC
    WWDC isn't really the venue for that. I'd expect it to be announced at the fall music-related event. (If this is even something Apple ends up pursuing).
  8. macrumors 604


    Nov 26, 2007
    As a college student, I agree with you completely.

    Something weird I've found: I listen to a lot of music on Spotify on a free plan, and about once a week I find a song I like so much that I buy it on the iOS music store just so I can listen to it on my iPhone. So Spotify basically is doing all the work of convincing me to buy the song, but then Apple is the one collecting the money when I decide to buy it.
  9. macrumors 68030


    Aug 10, 2010
    macrumors apparently
    all apple needs to do is register a patent for one of the notes. problem solved
  10. macrumors 68040


    Jun 16, 2008
    In short, wouldn't this be aggregating music, which pretty much goes against the very policy Apple adopted to crack down on apps like AppGratis, Appshopper, etc.?

    If so, this smacks of hypocrisy/"do as I say, not as I do".

  11. macrumors 65816

    Aug 17, 2008
    I think Spotify (or other services alike) are the future. Still, I do see why Apple won't cannabalize the iTunes store.
  12. macrumors 68030


    Oct 19, 2010
    Buffalo, NY
    Hahaha. Yes, exactly the same for me.

    I listen to Spotify or Pandora to find music, and use iTunes to buy the music I listen to most.
  13. macrumors 68030

    Oct 31, 2007
    London, UK
    I really can't see why so much effort is being used for what seems like a fairly weak proposition.
  14. macrumors 68000


    Oct 2, 2007
    if they had more subscribers, iTunes/Apple model should be cheaper right? like buying in bulk...
  15. macrumors member

    Jun 2, 2011
    Tim Cook, 1/23/13:

    “I see cannibalization as a huge opportunity for us,” Cook said Wednesday. “Our core philosophy is to never fear cannibalization. If we don’t do it, someone else will."
  16. HobeSoundDarryl, May 9, 2013
    Last edited: May 9, 2013

    macrumors 601


    Feb 8, 2004
    Hobe Sound, FL (20 miles north of Palm Beach)
    I'm with you. A better Pandora doesn't seem like much of a "next big thing". I don't get how "Apple needs this" and similar. I'm sure it will be nice and probably have a few benefits Pandora has missed. On the other hand, I'm sure it will have some "why'd they do that?" lock-down that Pandora doesn't match.

    But I can't think of anything here that could be "revolutionary." It's like we're chasing a fading medium of music distribution in hopes of reviving it. Maybe after this rolls out, Apple can go into the VHS tape rental business. That was hot 10+ years ago and, with the Apple spin, maybe they can turn it into something too.

    Similarly, I read that bit about the ad revenues and I wonder why people are going to want to both (potentially) pay something for this service AND listen to ads rather than just play the playlists of music they like on their iDevices for free. Yes, there's something to be said for discovering new music but we already have Pandora and Spotify for that. Is the convenience of one-click purchasing really all that? If so, we're excited to pay for something with ads so that we can easily pay for something else when we hear a song we like. Pay for the opportunity to conveniently pay more. That's innovation!

    Could we use LTE to download all of this music we're paying to get to pay for so that we can burn through our data allocation even faster? That way we can pay for the convenience of getting to pay for songs and getting to pay AT&T, Verizon, etc even more because this is yet another "innovation" that seems to revolve around burning through hard-capped data as quickly as possible. Win for Apple. Win for AT&T, Verizon, etc. Win for Music Studios.

    Anyone noticing a trend in iDevice innovation over the last couple of years? What does SIRI, Maps, and probably this iRadio all have in common? Hint: think about data burn vs. hard caps set by AT&T, Verizon, etc. Has Apple iDevice innovation pretty much moved to a filter involving what else could be developed to burn through capped data even more quickly?
  17. macrumors 6502

    Nov 29, 2007
    Charge Apple more because they might bring in additional revenue. The music industry doing it what it does best.
  18. macrumors 6502a


    Jul 9, 2008
    SEC Country
    I think this is major for Apple, if they can integrate this into iOS. I use itunes match and love it but having this seems like it would put even more music at my fingertips. Wonder how it would affect the battery...
  19. macrumors member

    Oct 6, 2011
    Xbox music Pass is the music service to beat!
    Wonderfully integrated with their smartphones and Win 8!
    It is very close to perfect! (only the design of the music app is not that good - okay, it's bad)
  20. macrumors 68000

    Dec 13, 2010
    Maybe they can make it like the cable tv scam where you pay a monthly fee AND have commercials!
  21. macrumors 601


    Feb 8, 2004
    Hobe Sound, FL (20 miles north of Palm Beach)
    That seems to be the plan. Except in that model, there isn't an added bill if you watch too much television (data) in a given month. In this plan, you can pay for the service, have commercials and if you use enough data to go through your cap you can pay some more. Triple threat. Everybody (that is a corporation) wins.
  22. macrumors 6502

    Oct 29, 2002

    Maybe Apple shouldn't have low-balled them in the 1st place, then maybe they'd be more open to faster, friendlier negotiations.

    I still don't understand services like spotify or pandora. Having a "radio" service is convenient at times, but I STILL like to buy and OWN (despite how some people interpret music purchases) my music.
  23. macrumors P6

    Jun 22, 2009
    Conjecture all day what you think it should be or what you want. Apple will deliver what they want and what they think you need. Never been any different, has it?
  24. Gym Hellwig, May 9, 2013
    Last edited: May 9, 2013

    macrumors regular

    Feb 21, 2013
    Who cares about this crap? Nobody wants another streaming radio service.

    Spotify will eat an Apple for lunch.
  25. macrumors 6502a


    Jan 21, 2013
    Well said. Spotify is the true rival here.
    Spotify > Pandora :)

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