A source familiar with Apple’s plans said the company is aiming to sign up 100 million subscribers for its Apple Music service, dwarfing all existing streaming music services combined, the Associated Press reports. Users of Beats Music will be migrated over before that service is shut down, and those purchasing songs or albums on iTunes will begin receiving an offer to subscribe to the $10/month streaming service instead. Apple will be flooding the online music scene to rack up those numbers, providing a three-month free trial of the paid service alongside a slew of guest DJs drawing users to its free iTunes Radio offering, including Pharrell Williams, Drake, Muse and David Guetta.
During an interview at the Midem music and technology festival, Sony Music CEO Doug Morris emphasized Apple’s unique position to dominate and revolutionize the streaming music market, Venture Beat notes. “What does Apple bring to this?” Morris said. “Well, they’ve got $178 billion dollars in the bank. And they have 800 million credit cards in iTunes. Spotify has never really advertised because it’s never been profitable. My guess is that Apple will promote this like crazy and I think that will have a halo effect on the streaming business.”
Mere days before Apple’s Worldwide Developers Conference (WWDC) where the company is expected to announce a new streaming music service, Apple remains in negotiations with record labels, Bloomberg reports. Labels are reportedly pushing for a larger portion of revenue from Apple than they are currently getting from their deals with rival service Spotify, according to people familiar with the negotiations. Both sides are said to want to complete a deal prior to WWDC on Monday, and the talks are actively continuing to that end. The labels are apparently using the talks with Apple to set a benchmark for negotiations with other services. Currently, the labels take 55 percent of Spotify’s monthly fees, and publishers take an additional 15 percent; the labels are said to be pushing for closer to 60 percent from Apple.
A new report from The Wall Street Journal has confirmed that Apple will indeed unveil its new Apple Music service at next week’s Worldwide Developers Conference. The report also confirms most of the details that have previously been reported about the new service, including that Apple will not only be unveiling a $10/month streaming music service to compete with Spotify, but also plans to update iTunes Radio with channels that are programmed and hosted by human DJs. While these details have been making the rounds for some time, it was previously unclear whether Apple would have the necessary licensing agreements in place in time for an early June unveiling of the service.
Apple is rumored to be working on a $19 million deal to add rapper Drake as a guest DJ for iTunes Radio, according to the New York Post. DJ David Guetta and Pharrell Williams — who sported his Apple Watch last month on “The Voice” — are also in talks to get on board as faces of Apple’s upcoming entry into the streaming music business, according to music industry sources. Reliance on artist involvement and star power to promote the new service is consistent with previous rumors that “Apple Music” will provide fans with track samples, photos, videos, and concert updates on artist-curated social networking pages.
Apple’s new Beats-based streaming music service, expected to be named “Apple Music”, will feature Ping-like social network pages for artists, 9to5Mac reports. While the network won’t extend to users of the service, artists will be able to setup their own pages that can be used to post information such as track samples, photos, videos, and concert updates. Artists will also be able to cross-promote by sharing content from other artists on their own pages, and users will be able to comment on and like content on artist pages, but will not be able to create or post their own content.
It appears the feature will be referred to as “Artist Activity” and can be disabled in Restrictions, as evidenced by a new setting found in the latest iOS 8.4 beta. The feature is expected to be available across the iOS, Android, and Mac versions of Apple Music, although it remains unclear whether it will also come to the Apple TV.
Apple is apparently looking at options to provide limited free listening options for users of its new streaming music service, Re/Code reports. While Apple still doesn’t intend to offer a free tier, the new report suggests that some limited listening options will be available, designed to push users toward the paid streaming model. Industry sources have suggested that Apple is considering offering free trial periods of one to three months and a feature that will allow labels to provide a sampling of songs that users can listen to. Sources also note that Apple intends to not only continue offering its free, ad-supported iTunes Radio service, but is expected to be working to enhance it, having acquired new talent expressly for this purpose.
A civil suit filed Tuesday in U.S. District Court accuses Apple of violating five OpenTV streaming video patents, Re/code reports. OpenTV is requesting unspecific damages for patents it says Apple used illegally in iTunes software for securely downloading or streaming rented movies. OpenTV technology powers on-demand video services and digital video recorders and has been licensed by other giants in the streaming video business, such as Google and Disney, according to the suit. Apple couldn’t be reached for comment.
Apple is missing some key music licensing deals for its upcoming streaming service, according to a new report from Billboard. While several reports have suggested that the company has been targeting June’s Worldwide Developer Conference (WWDC) to debut the new service, industry sources have told Billboard that as of now Apple doesn’t have the necessary licensing deals in place as of yet. While at least one source notes that a June launch might be “still attainable” due to Apple’s past track record of quickly securing licensing deals, another major label source is cited as suggesting that the launch “isn’t coming soon” as “the deals aren’t done” and there isn’t enough time to make it happen.
Apple has approached more than a dozen artists to attempt to negotiate exclusivity deals for its upcoming streaming music service, Bloomberg reports, with the goal of encouraging users to pay for a subscription in order to gain access to content that would be unavailable through competing services. The list of artists, which includes Taylor Swift and Florence and the Machine, among others, have been in discussions with Apple about deals ranging from limited streaming rights to individual new tracks to closer overall partnerships with the new service. Music label executives and artists alike have been pushing back in recent months toward free-tiered streaming services such as Spotify, with Taylor Swift notably pulling her entire catalog from that service after it refused to restrict her latest album to only its paying customers. Apple’s new subscription service is expected to be available in a paid tier only, priced at $10 per month for individual users, and a previously unrevealed “family plan” that would be priced at $15, although it is unclear how many users would constitute a “family.”
Apple has released iTunes 12.1.2, a relatively minor update that adds support for syncing photos to the iPhone, iPad, and iPod touch from the new Photos app for OS X, released earlier this week as part of the OS X 10.10.3 update. The release notes also note “several refinements to the Get Info window” and general stability improvements. iTunes 12.1.2 is available through the standard software update mechanism, or for direct download at iTunes.com.
The New York Times has a report today that provides some additional insight into Apple’s plans for the upcoming streaming music service that the company is rumored to be developing with its Beats division. Being billed as a service that is expected to rival Spotify, the new subscription offering has Trent Reznor of Nine Inch Nails fame overseeing the redesign of the iOS Music app to accommodate the new services. The report also notes that Apple is planning improvements to iTunes Radio to focus more on regional listeners, and “splashy new albums” that will be released initially as iTunes exclusives. Former BBC Radio DJ Zane Lowe has apparently been hired by Apple to play a role in redesigning iTunes Radio to “bear some resemblance to a traditional radio station.”
The report also confirms that Apple’s new service will not come in at a lower price than competing services. Several music executives told the New York Times that Apple’s attempts to negotiate lower pricing from record labels have failed, suggesting that Apple’s service will likely be priced at the $10/month level that has pretty much become standard across all streaming music services. Unlike services such as Spotify, however, Apple’s new service is not expected to have a free version, a decision that music executives are reported to be particularly happy about.
Apple has backed down from an effort to lower the subscription price of its upcoming music service, Billboard reports. It appears Apple will have no choice but to stick with the standard $10/month price used by other similar services, with the report noting Apple would have to absorb any losses from setting a lower price. The company was aiming for an $8/month subscription price, and an earlier report even claimed Apple had discussed a $5/month price with record labels.
Apple is still negotiating with labels and artists, and very little is known about what the final version of the service will look like, though it’s “widely believed” Apple will replace the Beats Music name with its iTunes brand. While Apple is still reportedly pursuing exclusive releases for its service, industry sources are skeptical that the company will be able to outmaneuver competitors for such exclusives. “Apple is one of the biggest companies in the world. If they want exclusive content, they’re going to have to get out the checkbook,” one source told Billboard.
Following on earlier rumors that Apple’s new streaming music service may have been ready for a March launch, a new report from 9to5Mac indicates that the new service likely won’t be unveiled until at least June, when the company holds its annual Worldwide Developers Conference. Citing music industry sources that have been briefed on Apple’s timeline for the new service, the report confirms that the new iTunes music streaming service is being developed, but notes that the company plans to introduce the new service as a beta at WWDC in early June.
The same report also notes that Apple is still working on a new Apple TV as well, which is expected to be a slimmer set-top box with an improved remote control and a redesigned operating system. It’s also expected that Apple will introduce an App Store with the redesigned OS — a feature which has been long-awaited by many Apple TV users. Apple had apparently hoped to debut the new Apple TV as early as this month, however, the company is still experiencing issues negotiating with content providers.
In a rare move, Apple has released an iTunes 12.1.1 update specifically for Windows users only, with fixes related to direct synchronization with Outlook and iOS devices. The update also addresses an audio playback glitch, and the release notes also indicate that the update “improves compatibility with screen readers.” The update should appear via the normal software update mechanism, however it is also available for download directly at http://www.apple.com/itunes/download. [via 9to5Mac]
More detailed plans for Apple’s new Beats-based music service show an integrated song catalog combining streaming services and a user’s own music collection, according to 9to5Mac. Citing multiple sources from Apple and the music industry, this latest report indicates that the new, yet-to-be-named service will be designed entirely by Apple in terms of the user experience, but will leverage technology and music deals that Apple acquired from Beats. As previously reported, Apple will integrate the music service into iOS and the Apple TV, likely in much the same way that iTunes Radio was tied into the iOS Music app, rather than delivered as a standalone app. An updated iTunes application is also said to be in the works that will “deeply integrate” the streaming service. The new service will likely be a hybrid of a cloud-based streaming service and Apple’s existing iTunes Match service for mixing the user’s own catalog with the available streaming content, making it more akin to the services that Google’s Play Music provides, rather than the streaming-focused services like Spotify and Rdio. The service will also leverage Beats Music’s existing Playlists, Activities, and Mixes features to allow users to choose from a wide variety of pre-made playlists for various activities.
Despite the introduction of the new service, Apple apparently plans to continue providing its iTunes Match, iTunes Radio, and iTunes Store services in their current form for users who may prefer these options to the higher-priced streaming service alternative. Sources indicate that Apple is also working to provide pricing below competing services, having initially discussed a $5/month price point with record labels — however, the company will likely end up being forced to price the service closer to $8/month.
Last fall, news surfaced that Apple was planning to re-brand and likely re-release the Beats Music service as something more tightly integrated into the iOS ecosystem. It was also reported that the company was asking the music labels for price concessions to hopefully be able to offer a streaming music service at a lower price point than existing services such as Spotify and Rdio.
Apple has released iTunes 12.1, a relatively minor update that adds a new widget for the OS X Yosemite Notification Center and improves iPhone, iPad, and iPod touch syncing performance. The new widget allows users to control iTunes from the Notification Center, providing a “What’s Playing” view with controls to skip to the next track or even purchase songs while listening to iTunes Radio. iTunes 12.1 is available through the standard software update mechanism, or for direct download at iTunes.com.
Following the introduction of its 14-day iTunes refund policy in Europe, Apple has apparently begun clamping down on refund abuse, according to a new report from 9to5Mac. Citing a tweet from developer Rosyna Keller, users who are detected by Apple as abusing the new refund policy will now be presented with a dialog box requiring them to acknowledge that they will no longer be eligible to receive a refund once they have downloaded the item in question.
So it appears Apple does detect abusers of their new 14-day return policy for digital items and revokes the ability. pic.twitter.com/JegmZlPiZy— Rosyna Keller (@rosyna) January 12, 2015
Since iTunes and App Store purchases normally begin downloading automatically once the user clicks the “Buy” button, this effectively removes the user’s right to receive a refund as soon as they click the “Buy” button. The relevant EU consumer protection laws specify that refunds are generally only available if the user has not begun “downloading or streaming the content,” provided the user is notified and acknowledges that this is the case prior to completing the purchase. Apple’s own Right of Withdrawal policy explicitly notes this as well:
You cannot cancel your order for the supply of digital content if the delivery has started upon your request and acknowledgement that you thereby lose your cancellation right.
In this case, it would appear that Apple has, by default, chosen the more user-friendly approach of providing a seamless one-click download experience rather than interrupting the user with additional confirmation popups. However, for those abusing the refund system – using it as a “try-before-you-buy” option, or taking advantage of a loophole previously reported by 9to5Mac – Apple is basically enforcing the letter of the law by notifying users that they will lose their right to a refund once they begin downloading the app, effectively requiring them to acknowledge that this is the case.
Apple has introduced a fourteen-day return policy for iTunes purchases in EU countries, according to a new report by iFun. Outlined in a Right of Withdrawal document on Apple’s web site, the policy states that customers can cancel iTunes orders within 14 days from the date they receive their receipt, without a requirement to provide any reason. The policy also covers purchases such as iTunes Match and Season Pass subscriptions, as well as unredeemed iTunes Gifts and Allowances. Users can apparently request a “cancellation” of their iTunes order by using the “Report a Problem” form within iTunes and submitting a model cancellation form provided in the document, or “making any other clear statement.” While Apple’s policy document provides some additional clauses that are a bit unclear, the original report notes that people have already begun receiving refunds under the new policy, which appears to be a result of recent EU consumer protection initiatives.
Apple has been cleared of wrongdoing in the recent antitrust case on iPod and iTunes Store lock-in, The Verge reports. The decade-old class-action lawsuit accused Apple of putting procedures in place in iTunes 7.0 that would remove music found on iPods from competing music services. Apple, for its part, claimed that the measures were simply “extra security” that the company added to its iPod and iTunes platforms in 2006. The lawsuit originally asked for damaged of more than $350 million to be distributed across 8 million consumers who bought affected iPod models between September 2006 and March 2009. Had Apple been found guilty of violating antitrust laws, however, the company could have potentially been liable for damages of more than $1 billion.
In a unanimous decision today, the eight-person jury in the trial rules that iTunes 7.0 was a “genuine product improvement” that was good for consumers, rather than a deliberate attempt by Apple to thwart competition by limiting purchased music to only Apple’s platform, as plaintiffs in the case had tried to argue. During the trial, Apple had repeatedly compared its iTunes and iPod ecosystem to integrated systems such as video game consoles, stating that it had simply built all of the pieces to work together. Further, the company’s lawyers noted that the DRM that ultimately locked out competitors was a necessary requirement of Apple’s deals with the major record companies, and that Apple was contractually obligated under the terms of those deals to patch any security holes that could have led to piracy of purchased content.
Apple has been accused of deleting music from users’ iPods that had been downloaded from competing music services, according to a new report in the Wall Street Journal. In the recently commenced class-action antitrust suit against Apple regarding iPod and iTunes Store lock-in, lawyers for the consumers told jurors that between 2007 and 2009, Apple knowingly had procedures in place to delete music found on iPods from competing music services without telling users. When users who had downloaded music from a rival service attempted to sync an iPod to their iTunes library, an error message would be displayed by iTunes instructing the user to restore to factory settings, a process that removes all content on the portable device and then reloads it from the user’s iTunes library. This process caused songs from rival services to disappear, the lawyers said, further alleging that Apple directed the system “not to tell users the problem.” The plaintiffs in the case claim that this demonstrates that Apple was stifling competition for music players and downloads from other services; they are seeking $350 million in damages based on the claim that Apple’s lock-in forced them to pay more for music players by being forced to keep buying iPods rather than being able to consider competing options.
Apple responded by stating the moves were legitimate security measures, with the company’s security director, Augustin Farrugia, testifying that Apple did not provide detailed information as the company doesn’t “need to give users too much information,” and doesn’t “want to confuse users” – an approach that is typical in the software designed by the company. Farrugia noted that Apple was “very paranoid” about protecting iTunes in light of hackers that were working to crack the FairPlay copy protection used by iTunes and the iPod, and that updates which removed non-Apple music files were intended to protect customers. “The system was totally hacked,” Farrugia said. E-mails from Steve Jobs presented in evidence revealed similar security concerns.