This coming Wednesday afternoon, after over a year of negotiations with multiple record labels, Google is set to launch its music store. Google is hopeful that the music store, which will offer a licensed cloud music service and sell digital downloads, will be able to quickly capture market share from Apple Inc.’s iTunes, Amazon, and other digital music services.
According to recent news reports, Google is close to signing an agreement with Universal Music Group. Universal, the world’s largest record company, allow Google to sell music and users to store the music in a licensed digital locker on the cloud.
Prior to Universal’s recent acquisition of EMI Group for $1.9 billion, Google successfully negotiated a contract and reached an agreement with EMI. However, the search giant is still negotiating with other labels that both Amazon and Apple had signed prior to the launch of those respective music stores.
Although Google has not yet reached agreements with the #2 record label (Warner Music Group) or the #3 record label (Sony Music Entertainment), Google is in ongoing negotiations with both companies. In addition to Warner and Sony, Google is also negotiating a deal with Merlin Network, which represents Arcade Fire and 18,000 other independent musicians.
When the digital music store launches, it is expected to provide users with music recommendations and offer a “free song of the day.” The initial pricing of digital music is reported to be between $0.99 and $1.29 per song which is on par with the standard set by Amazon’s music store and Apple’s iTunes. Also, there is going to be the option of purchasing the entire album for as little as $8.49 to $9.49.
At the AsiaD conference last month, Andy Rubin, the Senior Vice President of Mobile at Google, confirmed the music store was “close” and told AllThingsD the following: “It won’t just be selling 99-cent tracks. It will have a little Google in it.”
[Sources Include: The Verge, AllThingsD, & Los Angeles Times; Image by TechnoDroidVe]
