CUPERTINO, CA (CelebrityAccess) — Apple has indicated that it plans to start bundling the Beats subscription music service into its iOS operating system next year, possibly as early as March, in an attempt to drive usage of the streaming music service.
According to a report in the Financial Times, the move is thought to be Apple's first attempt to leverage the music service that it acquired from Dr Dre and Jimmy Iovine earlier this year for $3bn. The move comes amidst the increasing popularity of streamed music and the decline of digital downloads, which are a key component of Apple's iTunes music business.
Midia Research, a music analysis firm, estimates that Apple has more than 200m active iTunes customers, which dwarfs the tiny base of Beats Music subscribers, which are Midia estimates at about 110,000 subscribers.
The move will put Apple in direct competition with streaming market leader Spotify, as well as their rivals Google, who launched a closed beta of their new YouTube music streaming service this week. – Staff Writers