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Maybe the failure of iTunes radio is because nobody wants to stream music, and the people that are streaming music already run Pandora/Spotify i.e.: the market is saturated.

iTunes Radio is not a failure; however unlike Pandora it's only available on devices with access to itunes. This significantly reduced it's potential.
 
But you could name hundreds of other profitable businesses, that still doesn't make sense for Apple to buy. The fact that they are profitable isn't enough to justify this. As far as I can tell, it has to provide something that Apple doesn't have or are unable to create.

Nor did I claim that. This deal is about media revenue, the headphone revenue merely makes it less of a risk.
 
iTunes Radio is not a failure; however unlike Pandora it's only available on devices with access to itunes. This significantly reduced it's potential.

This simply explains why it is a failure not proves the opposite.
 
Nor did I claim that. This deal is about media revenue, the headphone revenue merely makes it less of a risk.

It is less of a risk for the Apple brand to be associated with Beats headphones?

Like Toshiba buying OCZ?

Like LSI buying SandForce ?

Like Nokia going Microsoft ?
 
I would like to see what kind if headphones will come out now Appple owns Beats. The next generation Beats products will be the same stuff but after that who knows what kind of high end products will come out?

Till that time, my aiaiai studio Young Guru will be everything I need.
 
This simply explains why it is a failure not proves the opposite.

I stand corrected.

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It is less of a risk for the Apple brand to be associated with Beats headphones?

Like Toshiba buying OCZ?

Like LSI buying SandForce ?

Like Nokia going Microsoft ?

It is possible that the move will fail; however doing nothing guarantees failure.

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I find that hard to believe, they would probably not buy this to get revenue at all.

I can't imagine why you would say that. Apple had been in the media revenue buisness for quite a while, why would they stop.
 
But you could name hundreds of other profitable businesses, that still doesn't make sense for Apple to buy. The fact that they are profitable isn't enough to justify this. As far as I can tell, it has to provide something that Apple doesn't have or are unable to create.



Yeah, but that assumes that Apple is unable to create their own streaming service, and that the obstacle to get there is technical, which isn't believable imo.

Doesn't "assume" anything.
Apple isn't going to make something from scratch JUST so they can say "Hey! we made this from scratch!"
They didn't do it with iTunes
They didn't do it with iPhoto
They didn't do it with Aperture
They didn't do it with Shake
Uhh… They didn't do it with OS X
 
Doesn't "assume" anything.
Apple isn't going to make something from scratch JUST so they can say "Hey! we made this from scratch!"
They didn't do it with iTunes
They didn't do it with iPhoto
They didn't do it with Aperture
They didn't do it with Shake
Uhh… They didn't do it with OS X

And what kind of infrastructure do you think they already have in place with iTunes, you're assuming that this presents some kind of technical obstacle that would warrant the buy.
 
It is possible that the move will fail; however doing nothing guarantees failure.

Developing your own service is not doing nothing. And music revenue, specially with subscription services, is accessory. Integrity of the brand is more important.
 
It's not the system, it's the contracts. Spotify pays too much for each song. Beats probably negotiated better deals.



Also, there's the matter of time. If Apple buys Beats outright they can launch this thing soon.


LOLOLOL You are kidding right? The most streamed track on Spotify is Avicii's Wake Me Up which was streamed over 200 million times. Spotify pays .006 cents per stream. That means that track only made $1.5 million while being listened to over a quarter of a BILLION times. Of course then everyone gets their cut of that 1.5 million from producers so verifiers and publishers. And that's the most streamed song of all time. The royalty rate with Spotify is horrible. Streaming services will change the music business for the worse.
 
Apple playing Catch Up.

It's interesting that Apple upended the music industry with the iPod, and the entire industry scrambled to keep up. Now the industry has bypassed Apple, a company that usually can see the future of media and jump-start it before anyone else. I do wonder not if Apple will catch up, but if they'll once again innovate.
 
Am I the only one who thinks Apple is planning doing a big thing? I mean look at the their purchases, Beats Marketing and Beats Music Services will help Apple a lot. Also they hired Nokia Engineers that made PureView cameras. But that camera would add thickness, but Apple bought another company to make their displays thinner, hmm...


I been saying that today also.
 
Just browsed through the http://www.beatsmusic.com web site. (something I've never done before). Looks interesting. Might give free trial a spin for helluvit.

Definitely looks like something Apple could hammer into a unique and growing differentiated service.
 
Yes, they do make it up touring and selling merch. Buy direct from the artist. They get regular residuals from streaming that they would never get from sales.







Streaming is taking over much sooner than I thought. It already is making up the difference in lost sales. This year or next it'll outpace music sales.


You couldn't be more wrong. If you're talking about indie artists, most don't have the money to go out on tour because nobody wants to buy their albums.

If you're talking about major label artists, again wrong. The biggest chunk of their change comes from licensing and product endorsements.
 
The most streamed track on Spotify is Avicii's Wake Me Up which was streamed over 200 million times. Spotify pays .006 cents per stream. That means that track only made $1.5 million while being listened to over a quarter of a BILLION times.

Do you mean $0.006 per stream? Otherwise it made about $15,000.
 
And what kind of infrastructure do you think they already have in place with iTunes, you're assuming that this presents some kind of technical obstacle that would warrant the buy.

Geeze, again with the "assume".
I don't KNOW about "obstacles"
What "obstacles" warranted the purchases in my list?
(iTunes…? Why did Apple buy Lala?)
 
This simply explains why it is a failure not proves the opposite.

I would hardly call it a failure yet. Its the third most used streaming service only a percentage point from second place. iTunes with 800 million members all with credit card stored makes it have a lot of potential. But Pandora has the lions share of users that dwarf that.

But it still has a way to go for its streaming service. I think its still trying to find a way to make make more revenue for itself other then give more useful services for its iTunes users who buy their hardware.
 
iTunes Radio is not a failure; however unlike Pandora it's only available on devices with access to itunes. This significantly reduced it's potential.

There are hundreds of millions of iPhones out there, as well as a whole lot more iPod Touches, all with access to iTunes. And apparently they're not buying it.

That said, I use iTunes radio occasionally - but normally I listen to my music.
 
LOLOLOL You are kidding right? The most streamed track on Spotify is Avicii's Wake Me Up which was streamed over 200 million times. Spotify pays .006 cents per stream. That means that track only made $1.5 million while being listened to over a quarter of a BILLION times. Of course then everyone gets their cut of that 1.5 million from producers so verifiers and publishers. And that's the most streamed song of all time. The royalty rate with Spotify is horrible. Streaming services will change the music business for the worse.

Well obviously a company like Apple would want to pay the lowest possible rates. Not saying any of this is good for the artists. Pretty sure it's terrible for them but what else is new.
 
money
 

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iTunes Radio is not a failure; however unlike Pandora it's only available on devices with access to itunes. This significantly reduced it's potential.

Weak proposition when you can listen to full albums on demand with Spotify, Deezer, and similar services.

I only listen to full albums on them. If there's any unavailable track in an album, I skip the whole thing.

And I never stream. I always listen offline.
 
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