Thursday, September 16, 2010

Google’s Music Service to Include Cloud-Based Locker [REPORT]

Google’s much anticipated music offering is said to be launching by Christmas, and new information from Billboard suggests that it will be both a digital download store and a cloud-based subscription service costing $25 per year.

Billboard’s sources referred to the cloud service as a locker, a place where subscribers will be able to store and access their music files and downloads, stream full tracks once prior to purchase, and share playlists with friends who would also be allowed to stream full tracks, free of charge, on their first listen.

Locker users would be able to add all their music files — as long as the track is licensed by Google — to their online locker for future streaming or downloading purposes.

“Such tracks could include those purchased at the Google download store or another download retailer, tracks ripped from a CD and even music files downloaded from peer-to-peer networks,” per the report.

Of course, everything — especially the full track-streaming functionality and the storing of peer-to-peer exchanged tracks — is dependent on Google securing the support from the major record labels.

The company is said to be showing label executives a term sheet with these proposals. It designs to get the labels to sign an initial three-year licensing agreement, with a 50/50 split on subscription revenue going to the master right holders. Google is also proposing a 10.5% cut for music publishers, according to Billboard.

With Christmas right around the corner, Google will need to aggressively push to make these deals happen in time for the holiday season. Previous reports on the subject suggest that Google may launch the Android-friendly download service first, with the online subscription portion to follow at a later date. From the sound of it, the cloud-based locker offering has the most potential to be disruptive, and should help Google differentiate its music offering from Apple’s longstanding iTunes store.



[via mashable]

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