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Apple Music vs. the competition: A streaming music cheat sheet
The past few years have seen a shift from owning music to accessing as much as you want on various streaming services. Why pay $9.99 for a new album each month when you can get a firehose of content for the same price? Now Apple looks to get in on the action with its newest offering, Apple Music. They made a big splash with the introduction of the iTunes store in 2003 but here in 2015 there's a lot more competition for your listening attention. Does Apple Music have what it takes to stand out from its more established rivals? We've stacked up some of the bigger names to see which one can give you the most for your money.
Apple hires the UK's biggest radio DJ to help boost its music service
While Apple reportedly has "hundreds" of employees working to build the fabled "Apple Car," the company is also busy integrating its Beats acquisition into iTunes. We may not have to wait too long to see fruits of that union, but before we do, Apple is acquiring talent to ensure the launch gets off to a good start. The UK's biggest radio DJ, Zane Lowe, today confirmed that after 12 years at the BBC's Radio 1 station, he's abandoning Britain for the sunnier skies of Los Angeles.
Apple reportedly acquiring British music analytics service Semetric
Apple reportedly has acquired music analytics service Semetric, according to The Guardian. The British startup is responsible for the Musicmetric analytics tool that allows clients to track sales data, BitTorrent downloads and other metrics such as social network statistics and Spotify streaming. Apple declined to comment on this potential acquisition, noting that "Apple buys smaller technology companies from time to time, and we generally do not discuss our purpose or plan." Details on the acquisition are not available, but it is likely that Apple may use Semetric's technology to improve its Beats Music service. Musicmetric's dashboard may provide musicians and music labels with a central hub to track iTunes sales, Beats Music streams and possibly engagement on other services. Apple is rumored to be working on a refresh of Beats Music following the US$3M acquisition of Beats Electronics last year.
Apple's latest acquisition will tell it what the world is listening to
When Apple spent $3 billion to buy Beats, it certainly made the headlines, but the company also goes to great lengths to keep smaller deals under wraps. One that has completely flown under the radar is its recent acquisition of Musicmetric. The service, if you're not aware, specializes in tracking how artists and their tracks are performing not only in the charts, but how often they're being pirated or how many potential new listeners they might have over a certain amount of time.
Spotify userbase grows to 60 million active users and 15 million subscribers
As the world awaits the impending (we hope) integration of Beats Music and iOS, Spotify continues to march along an upward trajectory. Earlier today, Spotify announced that its popular on-demand music service now has 15 million subscribers and 60 million active users. The last time Spotify publicly released subscriber information, it boasted of 12.5 million subscribers and 50 million active users. What's more, and underscoring the impetus behind Apple's Beats acquisition, recall that revenue from Spotify in some markets is outpacing revenue from iTunes downloads. This past November, for instance, we highlighted how revenue generated from Spotify in Europe was 14% higher than revenue generated by iTunes Music sales in Europe. As for when we might see Beats finally land on iOS, the Financial Times (which initially scooped Apple's Beats acquisition) relayed that Apple has plans to bundle Beats into iOS in early 2015, perhaps as soon as March. On that note, one can only hope that Apple implements Beats as a standalone app on the iOS homescreen as opposed to burying it within the iOS "Music" app a'la iTunes Radio
Apple planning to bundle Beats Music app into iOS early next year
The Financial Times is reporting that Apple plans to bundle the Beats Music app into iOS sometime early next year, perhaps as early as March. Apple will bundle the subscription music service it acquired from Beats into its iOS operating system early next year, instantly making it available on hundreds of millions of iPhones and iPads – and ramping up pressure on Spotify, the market leader in music streaming. As it stands today, Spotify currently has more than 50 million active users and 12.5 million paying subscribers. Given the prime piece of real estate that is the iOS homescreen, if Apple can convince just a small percentage of its iOS userbase to sign up for a Beats subscription, it could very quickly be on par with Spotify with regards to monthly revenue. What's more, with Apple Pay in tow, it'd be awfully convenient if iPhone 6 and iPad Air 2 users could sign up for a trial subscription without having to clumsily enter in credit card information and the like. Traditionally, Apple has shied away from -- if not been downright dismissive of -- on-demand music services. As Steve Jobs used to love to say, people want to own their music, not rent it. Clearly, though, the music landscape has shifted a great deal over the past few years and streaming, whether it be via YouTube, Pandora, or Spotify, is where the action's at. Indeed, a report from earlier this month indicated that revenue from Spotify in Europe is already outpacing revenue from iTunes in Europe. As a final point, the Financial Times relays that the Beats app may be re-branded underneath the iTunes umbrella.
Apple reportedly wants to lower the price of Beats Music to $5 per month
Re/Code today adds more color to a previous report claiming that Apple is hoping to secure a lower monthly rate for its Beats Music app. According to the report, Apple is urging record labels to agree to a $5 monthly rate for all-you-can-eat streaming, a significant decrease from the somewhat standard $10 fee typically associated with on-demand streaming music services. The logic of Apple's argument, relayed by people who've heard the pitch secondhand: Apple's best iTunes buyers spend about $60 a year on downloaded music - $5 a month. So if subscription services dropped that low, any download buyers that switched over to the streaming model would generate just as much revenue for the music labels. And, more important, the market of potential subscribers would get much larger. Meanwhile, Spotify today announced a new family plan wherein family members of current Spotify users can sign up for the service for only $5 per month.
Beats' head of subscription-music service is now in charge of iTunes Radio
The Wall Street Journal is reporting that Apple has appointed Ian Rogers, the head of Beats' subscription-music service, to run iTunes Radio. Three executives from Beats -- Rogers, Dr. Dre, and Jimmy Iovine -- joined Apple as part of the company's purchase of the music service and headphone manufacturer. Apple formally welcomed Beats to the family today with the launch of a welcome page for the company. Rogers will reportedly continue to run the Beats Music subscription services in addition to his new duties with iTunes Radio. This news comes on the heels of the European Union's formal approval of the merger.
With Beats, Apple faces the music
So the Apple/Beats deal is done. But, what most people really want to know is "why?" We got an official answer surprisingly quickly. But, let's face it: Of course the execs are going to wax lyrical about how important music is to the brand and spew other such meaningless soundbites. The only reason a company buys another is to make more money. That could simply be through acquiring a profitable company, which Beats is believed to be by most estimations (if we consider the hardware and streaming entities as one). The bigger question is, with music streaming still largely unproven as a revenue stream, has Apple bought itself an expensive lesson in business?
Forget headphones, Apple's interest in Beats is about paid music subscriptions
The rumor mill exploded last week amidst reports that Apple is considering purchasing Beats Electronics for US$3.2 billion. While most of Apple's acquisitions are small, surgical, and neatly fit into the company's future product plans, the Apple/Beats rumor raised many more questions than it answered. Why, after all, would Apple be interested in a company that, at the end of the day, is primarily known for selling expensive headphones? While there are no shortage of talking heads who believe the rumored acquisition has to do with Apple attempting to make inroads on a younger and hipper demographic, it's hard to take that line of reasoning seriously. The extent of Apple concerning itself with its "image" starts and ends with marketing. So what's likely at play here? Streaming music. Earlier today, Bloomberg reported that Apple, first and foremost, is primarily interested in Beats Music. Any deal would deepen Apple's ties to the music industry at a time when digital download sales are falling. Apple hasn't changed its iTunes music service much since it was introduced more than a decade ago. Today, iTunes still provides downloads of singles for 99 cents, as well as downloads of albums, even as subscription music services including Spotify Ltd. flourish. Apple became interested in doing a deal with Beats after executives were impressed by Beats Music, the online music streaming service unveiled earlier this year, which was rapidly converting users into paying subscribers, said a person with knowledge of the talks, who asked not to be identified because the discussions are private. That digital downloads are on the decline is no secret. What's more, Apple's iTunes Radio hasn't quite been the hit Apple may have been hoping for. While Apple's streaming radio service reportedly has about an 8% share of the audio streaming market, it's been reported that only 1-2% of listeners actually end up purchasing songs via the buy button. Meanwhile, the revenue generated from subscription sites like Spotify continue to grow, and in some areas, is giving iTunes a run for its money. If we take the rumored $3.2 billion acquisition price out of the equation for a second, integrating Beats Music into the Apple ecosystem starts making a lot more sense. Apple's rollout of iTunes Radio demonstrates that the company still cares about remaining relevant in the music space. Beats Music itself has been highly regarded for not only offering a compelling subscription package, but more so because it offers users professionally curated music playlists. Imagine for a second, a future iteration of iOS 8 coming with a Beats Music app placed front and center on the homescreen. You'd have to imagine that this would be a more enticing proposition than iTunes Radio. Further, given how many consumers have already given Apple their credit card information, perhaps getting folks to sign up for Beats Music subscriptions will be a streamlined piece of cake. Perhaps all it will take is a quick Touch ID thumbprint and, just like that, a new subscriber is born. The rumored Beats deal hasn't yet been confirmed, so as with any Apple rumor, assume nothing is a done deal until an Apple press release hits the wires.
What does hip-hop's 'first billionaire' have that Apple wants?
"Oh Shit, the Forbes list just changed." The words come from Tyrese Gibson about a minute into a video posted to (and since pulled from) Facebook just a few hours ago. Gibson is talking about Dr. Dre, who stands behind him, arm draped over his shoulder. Dre himself then addresses the camera directly, boasting "The first billionaire in hip-hop, right here." High spirits (and, be warned, very colorful language) pepper the video thanks to "all the Heinekens" that have evidently been drunk. Celebrations? If you'd just secured a $3.2 billion deal for your company, you'd probably splash out on a case of dutch courage or two, too. Sure, this is still not actual confirmation, but it's the nearest thing to public acknowledgement of the buyout yet. Why, then, do many still feel like the deal makes no sense?
Chevrolet adds Beats Music streaming to its in-car system as Beats opens its API to developers
Beats Music is already integrated with Apple's CarPlay system, which means you'll be able to stream music from Beats' catalog in any vehicle that happens to have Apple's setup installed. Now, new API support could mean we'll be able to kick out the jams from even more cars. The streaming music service made its API public today, a move that gives third-party developers access to its vast music collection. In particular, developers get access to the company's library of tunes, album art and track metadata (Beats previously shared its API privately with a few big names like Sonos and Bop.fm). So far, Chevrolet has announced it's adding Beats to its AppShop system -- and we're sure it won't be the last company to do so.
Have a favorite music streaming service? Sound off, people of Engadget
Wrapping your head around all the various options for streaming music can be overwhelming. How do you choose between Spotify, Rdio, Beats Music, Rhapsody, Google Play Music All Access or any of the other services out there? Engadget Forums member daninbusiness is here to help, and he's done a great job breaking down the pros and cons of each music provider that he's used. But one man's opinion does not a consensus make, y'all. What's your go-to choice for music? How would you persuade your friends that the benefits of Spotify far exceed those of Rdio? Sound off in the forums, folks, your wisdom is needed.
Weekly Roundup: PlayStation Vita TV review, T-Mo's 'Mobile Money' and more!
You might say the week is never really done in consumer technology news. Your workweek, however, hopefully draws to a close at some point. This is the Weekly Roundup on Engadget, a quick peek back at the top headlines for the past seven days -- all handpicked by the editors here at the site. Click on through the break, and enjoy.
Daily Roundup: Lumia 1320 review, NFC iPhone case, Beats Music hands-on and more!
You might say the day is never really done in consumer technology news. Your workday, however, hopefully draws to a close at some point. This is the Daily Roundup on Engadget, a quick peek back at the top headlines for the past 24 hours -- all handpicked by the editors here at the site. Click on through the break, and enjoy.
Beats unveils 'Beats Music' streaming service for iOS, and more news for January 21
Beats has unveiled its long-awaited music streaming service, Beats Music. The service enters the crowded field of music streaming, dominated by heavyweights including Apple's iTunes Radio, Spotify and Pandora. For US$9.99 a month, Beats Music listeners will be able to stream an unlimited amount of albums and songs and also download them for ad-free offline listening. The service also relies heavily on music curation, with curated stations and playlists chosen by professionals at music industry publications and by some of the most popular DJs in the country. From the Beats Music press release: We wanted to build a music service that combined the freedom of an on-demand subscription service -- unlimited, uninterrupted streaming and downloads of tens of millions of songs -- but layer on top features that would give you that feeling only music that moves you can give. The right song at the right time will give you a chill. Make you pull someone close. Nod your head. Sing in the mirror. Roll down the car window and crank the volume to the right. Beats Music is a free download. In other news this morning: Apple investors will be happy to hear the iPad 2 dropped to only 5 percent of iPad holiday sales -- down from 27 percent, according to Consumer Intelligence Research Partners. The drop means that of iPads purchased this holiday quarter, consumers chose to go for the more expensive and higher-margin iPad Air, iPad mini and iPad with Retina display. The popular VLC video client for iOS has received a major update. Version 2.2 now allows users to stream videos right from their Dropbox account. The update also adds support for Google Drive downloads, and several other features, including new multitouch gestures. VLC is a free download. Apple has received a patent for a new force trackpad with tactile feedback. Currently trackpads in the MacBook line work via a clickable switch interface, however the new patent shows Apple could do away with current trackpads and replace them with advanced ones that sense presses through force and can also provide tactile feedback through vibrations signaling to a user that an action has been completed. Apple has expanded the reach of educational content. The company has announced that iBooks textbooks and iTunes U Course Manager are now available in more than 50 countries.
