Beats CEO Jimmy Iovine Pitched Steve Jobs on Subscription Music Service

Discussion in 'MacRumors.com News Discussion' started by MacRumors, Jan 10, 2013.

  1. macrumors bot

    MacRumors

    Joined:
    Apr 12, 2001
    #1
    [​IMG]


    In a new interview with AllThingsD, Beats Electronics CEO Jimmy Iovine reveals that he is preparing a subscription music service. Although he isn't revealing details yet, he does say that he started pitching the service to Steve Jobs in 2003.

    [​IMG]
    Recently, music streaming services like rdio, Pandora and Spotify have become increasingly popular and Apple is rumored to be working on a Pandora-like "iRadio" streaming service. Iovine mentions that his streaming service would be heavy on curation, like Pandora, rather than simply giving users access to millions of songs like Spotify. Apple's rumored streaming service is said to take the same approach, which makes sense if Jobs did like Iovine's pitch.

    Beats and Apple do have a fairly close relationship already, as Apple retail stores tend to use Beats by Dre headphones to demo iPods and other devices.

    Article Link: Beats CEO Jimmy Iovine Pitched Steve Jobs on Subscription Music Service
     
  2. macrumors 6502a

    fruitpunch.ben

    Joined:
    Sep 16, 2008
    Location:
    Surrey, BC
    #2
    That would make the service completely useless for me and so many people. I just want to stream all iTunes store's music for a monthly fee. Can it really be so hard? Especially because Apple doesn't see iTunes as a significant revenue source, it is meant to drive sales of hardware, so they do not need high profit margins on such a venture. And before you say "that's un-Apple-like" remember that the iTunes store only just broke even for its first few years - its only now that it has huge revenues. So the streaming service can start the same way, break even, and then as profitability increases, it can make more of a profit without raising fees
     
  3. macrumors regular

    Joined:
    Mar 6, 2008
    Location:
    Los Angeles
    #3
    To Jimmy and Doug.

    Remember in 1999 when you signed my band because we were the biggest thing online?

    Remember when you asked me what the future of the music business would be and I said 99 cent singles?

    Remember how you both told me that (as well as subscription) services would never happen in your lifetime?

    Glad to see you woke up during your lifetime.

    It's too late now to implement your ideas in a way that would be as profitable as they would have been a decade ago.

    Good Luck!

    Ron
     
  4. macrumors 68030

    basesloaded190

    Joined:
    Oct 16, 2007
    Location:
    Wisconsin
    #4
    iTunes brought in 7.5 billion in revenue for 2012, so I would beg to differ.
     
  5. macrumors 65816

    Joined:
    Nov 30, 2010
    #5
    Steve has always been a stickler for money.
     
  6. macrumors member

    Joined:
    Jun 10, 2011
    #6
    The only thing "Beats" bring to the Apple store is thieving scum who steal the **** out of them.
     
  7. macrumors 6502a

    ConCat

    Joined:
    Jul 27, 2012
    Location:
    In an ethereal plane of existence.
    #7
    Aren't we all.
     
  8. macrumors 68000

    FreeState

    Joined:
    Jun 24, 2004
    Location:
    San Diego, CA
    #8
    And incredibly bad headphones that have been marketed brilliantly.
     
  9. macrumors 6502a

    fruitpunch.ben

    Joined:
    Sep 16, 2008
    Location:
    Surrey, BC
    #9
    After you quoted me I added this:

    And before you say low profit margins are un-Apple-like" remember that the iTunes store only just broke even for its first few years - its only now that it has huge revenues. So the streaming service can start the same way, break even, and then as profitability increases, it can make more of a profit without raising fees
     
  10. macrumors member

    Joined:
    Aug 29, 2006
    #10
    I don't like subscription services, period. I don't need another service for which I pay a monthly fee whether I use it or not.

    That is why I like the original itunes models. You like a song, and you buy it, No further obligations.

    On the other hand, if I were running a business, a subscription service would be great. Nothing like a steady stream of revenue. But IMHO, as a consumer you get screwed unless you are an addict that listens 24/7.
     
  11. macrumors member

    Joined:
    Apr 8, 2009
    #11
    Facts?

    "Recently, music streaming services like rdio, Pandora and Spotify have become increasingly popular and Apple is rumored to be working on a Pandora-like "iRadio" streaming service."

    I read this a lot. But nobody gave any details. Exactly, what is the user base and revenue of rdio, Pandora and Spotify? How do they compare to the iTunes Store (members with credit card on file, sales, revenue, profits)? How much do musicians and composers get per song/album?

    I personally prefer to buy albums/songs (my purchases are approx. 95% complete albums, the remaining 5% are mainly one-hit acts, ancient hits or simply funny/ridiculous stuff) and give the performers, lyrics writers and composers what they deserve. A great song (or instrumental piece) for 99 cents will be stuck in my brain forever, a $5 coffee in a paper cup turns into piss within a day.
     
  12. macrumors 6502a

    Klae17

    Joined:
    Jul 15, 2011
    #12
    Time to buy Pandora!
     
  13. macrumors 601

    Joined:
    Nov 25, 2012
    Location:
    United States
    #13
    So very true! :D
     
  14. macrumors 65816

    Joined:
    Nov 30, 2010
    #14
    I wouldn't be buying Macs if I was one.
     
  15. macrumors 6502

    Joined:
    Jun 4, 2011
    #15
    I would even go as far to say that the apple EARPODS sound better than the beats headphones they are so bad.
     
  16. macrumors 68020

    ziggyonice

    Joined:
    Mar 12, 2006
    Location:
    Rural America
    #16
    For a while I was all on board with the "own your music" idea. I bought hundreds of dollars worth of music on iTunes.

    But then I tried subscription. A few bucks a month and I'd listen to whatever I wanted to, whenever I wanted to. Streaming on-demand. I could sample whole albums and find new music. Or maybe I want to quickly pull up a song that I don't have in iTunes, instead of having to go through the process of purchasing it. In additon, it meant not having to take up precious space on my iPhone for songs.

    You may say, "But you can stream with iTunes Match!" Yes, and I have tried it. In addition to its slow, spotty reliability, it's pointless next to Rdio, Spotify or others.

    Why stream my limited iTunes library via iTunes Match when I could go subscription and stream literally whatever song I want, instantly?

    I probably haven't bought a song from iTunes in a couple years. I really want to see Apple give people the option for subscription. I'd jump on it in a heartbeat.
     
  17. macrumors 6502

    Joined:
    Jan 13, 2004
    Location:
    New York
    #17
    Ditto except for the jump on an iTunes version. I'd probably try it but Spotify is some tough competition. I can't imagine Apple " curating" my personal musical taste and getting it close. Reminds me, gotta cancel iTunes Match...
     
  18. macrumors 6502a

    Joined:
    Apr 5, 2011
    #18
    Want to hear a joke?

    A guy wearing Beats headphones says Macs are low quality and overpriced.
     
  19. macrumors regular

    Joined:
    Aug 28, 2011
    #19
    Its pretty easy to look in the rear view mirror and see what WAS possible. The reality is that Apple was a failing company in 2002. SJ placed a massive bet on the iPod and totally did the right thing at the time for a somewhat desperate cash stepped company in need of a fresh direction.

    To even try and equate this story as some sort of SJ failure is absurd… I mean streaming service to what, in 2002/2003?? There wasn't anything to street to!

    Its now TC's chance to look forward. Does he have the vision? I guess we'll have to wait for another decade to find out…
     
  20. macrumors G3

    charlituna

    Joined:
    Jun 11, 2008
    Location:
    Los Angeles, CA
    #20
    Yes. The labels make it so. They have control nd do everything they can to keep it or get scads of cash for it. Same with the studios and networks

    ----------

    But what were the costs required to do that.

    ----------

    I am and I still bought a Mac. Why? Because building an AVID rig was even more expensive. So I took a gamble and learned final cut, shake etc instead.

    And it paid off.
     
  21. macrumors regular

    Joined:
    Sep 19, 2012
    #21
    Steve Jobs was a great.

    Now he's dead.

    He isn't important anymore. The people of NOW are important.
     
  22. macrumors newbie

    Joined:
    Apr 16, 2012
    Location:
    EARTH
    #22
    Yeah
     
  23. macrumors 603

    ArtOfWarfare

    Joined:
    Nov 26, 2007
    #23
    You may become less important over time after your death, but it sure isn't an instantaneous thing. Steve Jobs is certainly still important today, despite the fact his body failed him (or he failed it,) over a year ago.
     
  24. macrumors 6502a

    bwillwall

    Joined:
    Dec 24, 2009
    #24
    Yup... wearing my wireless beats I got about a week ago right now. Squeezing the hell out of my ears.
     
  25. macrumors 68030

    mdriftmeyer

    Joined:
    Feb 2, 2004
    Location:
    Pacific Northwest
    #25
    You haven't bought songs from iTunes Store but quarter over quarter growth clearly compensates for your drop-off.
     

Share This Page