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Song Skipping Reportedly The Cause Of Halt In iRadio Negotiations

Recently, a report indicated that Apple's anticipated "iRadio" music service could be delayed, since the product aims to deviate from a standard subscription-based model and rather seeks to offer users aspects of an on-demand-style experience. According to CNET, however, it would appear that the specific issues threatening the launch of the service lie between Apple and Sony Music, and concern "the economics of skipping songs." The website reports:
Apple and Sony Music, the world's second-largest music label, are still trying to hammer out details over how much Apple would pay for songs that people listen to a fraction of and then skip, according to people familiar with the negotiations. There could be other points of contention as well. Apple's streaming music service, which most closely resembles Internet radio leader Pandora, has some features built into it that give users added control, such as the ability to rewind a song and skip to the next after listening to a portion of it, sources say.
Pandora, however, while allowing users to skip songs, limits this to 12 skips per day, and pays full royalties for each skipped track. If Apple is going to allow iRadio users to bypass, rewind, or repeat songs, it would appear that a similar agreement with labels will need to be made, and that an appropriate price will have to be paid. Unfortunately, until such a deal is struck, Apple's exciting music streaming service is indeed going to be on hold, and a summer launch therefore appears less likely with each passing day. From what we understand, Apple has signed a deal with Universal Music Group, and is close to reaching an agreement with Warner Music Group. Sony, however, is presently holding out. We'll let you know if the situation changes. In the meantime, see our further iRadio related news articles: Apple’s Streaming Preview Of Daft Punk’s New Album Leads To Free DownloadApple's "iRadio" Is So Revolutionary Which Is Why It Could Be Delayed, and Google Launches A Streaming Music Service, Leaving Apple In The Dust.
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