Below is a transcript of the WWDC Keynote where Jobs describes iTunes Match. I see how the wording about "same benefits as music purchased from iTunes" could be interpreted as download of the 256kbps AAC file, but nowhere in Jobs' description or on the Apple webpage describing iTunes Match is the word "download" ever used. It's always "upgrading" and "playing." If they meant "You get to download and keep a 256kbps AAC copy" then why don't they just say that anywhere? There's some salesmanship verging on misleading going on here. I think the "benefits" referred to are the zero-storage and the availability the iCloud offers...not the re-download of a file.
I'm reading that as these songs are available in your master cloud library to be played on any device, seamlessly, just as if they were "on" the device. Your $24.99 goes towards paying Apple and the record companies a few pennies each time a song is streamed, just like traditional radio royalties or the fees Pandora pays and subsidizes through ads or premium service. That price is much more in line with that sort of model that unlimited downloads of actual upgraded AAC files they have no way to verify you actually "own."
Apple is trying to sell the idea that
it doesn't matter where the file is stored as long as you have access to it. And for those saying it can't be streaming because that's useless for iPod nanos or WiFi devices...the requirements listed are an iDevice and iOS5...even a download service is useless without an internet connection. This is the beginning of the cloud era. No internet, you don't get to play with Apple or any other like service. It's a
library in the cloud, this is a new way of thinking we are being introduced to, and thinking we will get to (or need to) download everything is the
old way.
Jobs' intro of this service is agonizingly nonspecific about the points that are being argued here, and I think he was very deliberate and careful about the words he used. The big difference Jobs touts between iTunes Match and Amazon as cloud-based music services is that you don't have to spend lots of time and money to upload all your music. But he is comparing them as
cloud music services. Both will play your music from the cloud. It's just a difference of how it gets there and whose copy of the file is playing.
Nothing in life comes for free. The tradeoff for this ease of use
has got to be that Apple's method doesn't allow you to download your matched non-iTunes purchased content of ripped CDs or whatever, but only play it from the cloud. It's not some "storage locker" for your files like Amazon, it is the entire iTunes Store library, and you are signing out their copy. The cloud is now the main storage repository, and there are some songs there you have bought, some unmatched that you have uploaded, and some matched that you are permitted to stream. This follows the "web song" paradigm of the old Lala service Apple took over.
It's entirely possible that I am wrong about this, but until I see it explicitly written or hear it come straight from Jobs' mouth that $24.99 per year allows us to download unlimited copies of unprotected 256kbps to any device any time I have to believe the Match songs will stream from the iTunes store. I'm not "making crap up," I think this is a reasonable and realistic interpretation of how this works. It may be an industry leading model, but it can't be that many miles ahead of Google and Amazon in terms of cost without some subtle tradeoff.
I am curious...what method do you all propose will remove access to these songs once a user cancels their subscription? How could Apple delete all these upgraded copies that were downloaded over the course of a year?
TRANSCRIPT
Now there's one more thing
a small thing
it pertains to itunes in the cloud.
As you recall iTunes in the cloud is just for the music you purchased from the iTunes store. Now at 15 billion songs, that's a lot of songs out there, that's a lot of songs purchased from the iTunes music store. But you may have some that you ripped yourself. And there's three ways you can deal with that.
You can sync your new devices over wifi or cable and you only have to sync them once to get that music on them and then you can rely on iCloud to take care of getting all your new purchases off iTunes onto that device
or
If it's just a few songs you love that you don't want to leave behind, you can buy those songs that you'll miss on iTunes
we're going to offer a third way
Which is called iTunes Match.
What is iTunes Match?
Well, iTunes Match uses the fact that we've got 18 million songs now in the iTunes Music Store. And the chances are awfully good that we've got the songs in our store that you've ripped. So we wrote software to scan those CDs (the non-iTunes music) and match it up with those songs we have in the store. And so, we give that music the same benefits as music purchased from iTunes and it takes just minutes (not weeks)
if you have to upload your whole library to some locker in the sky, that literally takes weeks. This takes minutes because we're scanning and matching your library so we don't need to upload that large part of your library. And those few songs that remain, we'll upload them. But with 18 million songs, we're most likely to have what you've got.
In addition, iTunes Match will upgrade those songs to match the 256kbps AAC and iTunes Match costs just $24.99 a year. So if you've got a bunch of music that you didn't buy from iTunes, you can get all the benefits of the cloud service and more in terms of upgrading your music for $24.99 a year.
Now if you look and compare that to some competitors, let's just look at Apple and Amazon and Google, you kind of get surprised because again, the library in the cloud, we scan and match, the other guys you gotta upload your whole music library. Again it's gonna take weeks. Music apps on your Mac and PC, your stuck with a web app instead of iTunes. Upgrade to 256kbps, the other guys aren't upgrading you at all. The annual price for 5000 songs $24.99, Amazon charges you $50 for the storage and Google hasn't announced their pricing yet. Even at 20,000 songs we charge one flat price, Amazon's up to $200 for the storage, and Google hasn't announced their prices yet.
So most of our customers won't need this because they've bought a lot of their music on iTunes but for those that do it's uh, an industry leading offer, let's put it that way. So that's iTunes Match, and it goes along with free iTunes in the cloud, and that's what it is.