While other tech companies have opted to pass right on by the wishes of the music publishing world, Apple has opted to take the other path and obtain deals with the four big music labels before going live with their rumored cloud based streaming service. The latest report has Apple close to signing a deal with the fourth, however advises that last minute obstacles can always crop up.
According to a report from CNET:
Negotiations between Apple and music publishers have begun in earnest only recently but the amount of money that separates the two sides from reaching a deal is relatively small, according to two sources with knowledge of the talks. That said, these are cloud-licensing contracts, which are new and complex and there's still several ways Apple's service could be delayed, insiders say.
Currently, publishers receive a fixed rate of 9.1 cents per track sold either digitally or on physical media, which was a rate that was set by the U.S. Congress. What is leaving music labels edgy is that separate cloud streaming rights are not part of that deal, so Apple and the music publishers are trying to hash out new regulations for the industry to go by.
Despite the minor differences, reports are indicating that the labels and publishers are looking forward to Apple launching their service soon, with hopes that Google and Amazon will come to similar agreements. However, there is also reported tension between labels and publishers, due to publishers being upset that the labels have already scooped up the majority of money that Apple was wanting to pay for cloud streaming rights.
Regardless, we should know soon enough with WWDC right around the corner!
via MacRumors
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