Report: Google to Launch iTunes Rival for Christmas

First Google launched a rival smart phone, now the Mountain View, Calif. Internet giant reportedly plans to assault Apple’s other revenue pillar – iTunes. The Google Vice President behind Android plans to launch an online music service by Christmas, a vision being warmly received by music executives, according to Reuters.

Music executives, while “grateful” to Apple for raising awareness of digital music, are now described as enthusiastic and hopeful Google can take on iTunes, which sells 70 percent of digital music in the United States.

“Finally, here’s an entity with the reach. resources and wherewithal to take on iTunes as a formidable competitor by tying it into search and [the] Android mobile platform,” one music exec told the news agency. Google plans an online music “digital song locker” tied to the popular smart phone platform.

But can unlimited cash be enough to blunt iTunes expansion? Similar attempts have met with lukewarm success. Amazon.com launched a rival MP3 store, but in three years garnered only 12 percent of the digital music sales market. Can Google, with far less retailing experience, do better? Noting Google’s lack of experience, another music exec said labels are “cautiously optimistic” and hope the Internet company’s reach will outweigh other factors.

For it’s part, Apple recently released an updated iTunes application which includes “Ping,” a social network aimed at music lovers. In a possible sign of things to come, Apple and Google sparred over Apple CEO Steve Jobs’ Wednesday comments that the Android maker was puffing-up the activation numbers for smartphones.

[AppleInsider, 9to5Mac, Reuters]

8 comments »