Numerous reports have been circulating over the years about a Apple streaming music service or iRadio, but it seems difficulties with negotiations keep occurring with Sony and Warner Music Groups.
Word from CNet is that Sony isn’t happy with the fees to be paid for skipped songs and it has come to a point of contention between the two.
Apple and Sony Music, the world’s second largest music label, are still trying to hammer out details over how much Apple would pay for songs that people listen to a fraction of and then skip, according to people familiar with the negotiations.
Apple’s streaming music service is rumored to be similar to Pandora and not at all like Spotify, but looks to not go down the path from Pandora’s station-based listening rules for extended control. This includes rewinds and skips after a small portion of the song has been played, while Pandora limits users to only 12 skips and pays full royalty rate for each skipped track.
Apple has faced years of struggles just to get to pricing negotiations for the iRadio service, and they originally offered only half of what Pandora’s royalty rates are and including more flexibility. Of course the Apple brand will come into play as they host iTunes which can allow the streamed songs to be purchased right through Apple.
Earlier in April Apple closed a deal with Universal, so progress has been made in the iRadio concept. However, the launch time is unknown but hopefully as soon as Sony and Warner ink the deal.