Apple’s Pandora-like Streaming Service Stalled Because Of Negotiations With Sony

Apple’s Pandora-like Streaming Service Stalled Because Of Negotiations With Sony

For the last month rumors have floated around the web that Apple is been planning to build it’s own Pandora-like music-streaming service. It makes perfect sense to us, but Apple didn’t announce it at the iPhone 5 keynote which had many people wondering if it’s going to actually happen.

A report from the New York Post this morning is claiming that the reason Apple hasn’t launched their music-streaming service is because negotiations with Sony/ATV hit a last minute snag, forcing Apple to scrap the iTunes Streamer announcement from the iPhone 5 keynote.

Sony/ATV is the world’s largest music publisher, so Apple will definitely need to reign in a deal with them if they want to offer a library of music that can compete with Pandora. According to The Post, Sony/ATV and Apple couldn’t agree on a per-song rights fee as Sony/ATV wanted a higher rate than what they get from Pandora.

In the past, companies like Pandora could negotiate a deal with Sony/ATV through the two main copyright associations, Ascap and BMI. But because Sony/ATV plans to leave the two associations in January, Apple has had to negotiate with Sony/ATV directly to get permission to stream their songs.

Apple VP Eddy Cue is said to have be leading the talks between Apple and Sony/ATV’s Martin Bandier. Although negotiations have stalled, many still expect the Apple streaming service to come out as an update in the near future.

Related
  • Drmstix303

    Wouldn’t Apple be cannibalizing themselves considering how successful iTunes store purchases have been?

    I was thinking the exact same thing… Seems counterintuitive.

  • FriarNurgle

    Grooveshark FTW

  • CharilaosMulder

    That’ll be iTunes 12

  • technochick

    Wouldn’t Apple be cannibalizing themselves considering how successful iTunes store purchases have been?

    Depends how they do it. If they go back to LaLa.com and it’s one time play on songs unless you bought or Matched them, then not so much.

    That said, this came from the Post. NYers won’t wipe their butts with it because it’s so tabloid. Be ware of taking this as reliable

About the author

Buster HeinBuster Hein is Cult of Mac's Social Media Editor. Hailing from Roswell, New Mexico, but now spending his days in Phoenix, Arizona, he wastes most of his time eating burritos and reading Spanish romance novels. Twitter: @bst3r.

(sorry, you need Javascript to see this e-mail address)| Read more posts by .

Posted in News | Tagged: , , |