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Apple’s music streaming service reportedly hit a road block over licensing fees

Updated Dec 19th, 2018 8:37PM EST

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Apple (AAPL) has reportedly been unable to come to an agreement with the world’s largest music publishing company over licensing fees for its Pandora-like music streaming service that was set to debut alongside the iPhone 5, according to the New York Post. Sony/ATV is said have wanted a higher rate per song stream, however Apple refused to agree to the publisher’s request. Music distributors, such as Pandora (P), usually pay a statutory rate that has been set for all songs played on the Internet. Apple is looking to do more than Pandora, however, and instead had to negotiate with individual rights holders like Sony/ATV. According to the New York Post’s sources, Apple is interested in more flexible licenses that will permit the company to direct users to its iTunes store to generate sales. The license would also allow the Cupertino-based company’s service to play a selected artist more times than Pandora and other music services are currently allowed. Talks are said to be ongoing.  

[Via CNET]


Dan joins the BGR team as the Android Editor, covering all things relating to Google’s premiere operating system. His work has appeared on Fox News, Fox Business and Yahoo News, among other publications. When he isn’t testing the latest devices or apps, he can be found enjoying the sights and sounds of New York City.