Apple has a music streaming service in the works

Apple has a music streaming service in the works.
A customizable Internet radio service, similar to that of Pandora, paired with its popular iTunes service would further cement the company's importance in music delivery.
Apple recently began talking with record labels about licensing for the service, according to The Wall Street Journal. Once deals are made, it would still take months for the service to launch, the Journal reports, citing sources familiar with the negotiations.
An advantage that Apple would have on other streaming music services – and in attracting label support -- is the ability to seamlessly wed iTunes song sales to its Net radio delivery, says Wedbush Securities analyst Michael Pachter. "Due to the dominance of iTunes and the depth of integration with Apple devices, we envision that an Apple Internet radio offering would allow users to purchase and download songs during play on Internet radio virtually instantaneously," he said in report.
It is unlikely that the new streaming service will be unveiled at Apple's iPhone 5 event next week, he says.
Even though an Apple streaming service would only be available on iPhones, iPads and other iOS devices, it could have some features that outperform Pandora, which has 150 million registered users across computers, as well as Android-based and iOS devices.
Pandora does not play more than four songs from an individual artist in a three-hour period, for instance, Pachter said. "We believe Apple could try to take share from Pandora through greater flexibility around song selection or skips, among other items," he said, adding that "Apple service reports are likely to negatively impact Pandora shares for the foreseeable future."
He did not expect the Apple service to be unveiled at next Wednesday's planned iPhone 5 event.
See photos of: Apple


SOURCE : USATODAY