Google To Introduce Paid Music Streaming Service On YouTube

Google To Introduce Paid Music Streaming Service On YouTube YouTube will be reportedly launching a subscription music service to take on the likes of Spotify and the rumoured Apple iTunes subscription service according to Fortune.

Ryan Bradley and Jessi Hempel, writing for Fortune:

The two new services are defined by their respective places in the Google empire: Google Play for Android is a digital locker for music – users buy, store, and sort a collection of tracks; but on YouTube’s coming service, anyone can listen to tracks for free.

Both services are said to be adding a subscription fee that will unlock additional features. For the YouTube-based service, this will likely mean ad-free access.

Sources claim the Warner Music Group has partnered with YouTube and Google on the new ventures. Music streaming is slowly but surely gaining traction as Warner last year earned  about 25 percent of its digital revenue from streaming.

Record companies aren’t in perfect agreement as to how much of their content to give away and are still hashing out what aspects of the user experience will be free on YouTube’s new service, particularly when accessed from mobile devices.

There is concern that under a “freemium” model, listeners might get used to not paying for music (again) and that revenue would be tied to the ad-sales that subsidize the free content.

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