Not all music labels are happy with Apple’s new streaming service. According to a story from The Telegraph, the indie label XL Recordings is strongly displeased with the free, three-month trial period of Apple Music when it launches later this month.
During the period, Apple isn’t planning to pay any royalties to labels. So XL may withhold music from its signed artists, including Adele and the Arctic Monkeys.
Adele’s latest album, “21,” happens to be the biggest seller of the decade and would be a significant hole in the new service.
Andy Heath, chairman of the industry lobby group UK Music, didn’t hold back his criticism of the trial period – saying that it will “literally put people out of business.” Here’s more from the report:
Mr Heath said: “If you are running a small label on tight margins you literally can’t afford to do this free trial business. Their plan is clearly to move people over from downloads, which is fine, but it will mean us losing those revenues for three months.”
Apple Music will officially launch later this month on Tuesday, June 30 with the arrival of iOS 8.4. On that date, Apple will also update iTunes for the Mac and PC to work with the service. Apple TV and Android compatibility will come sometime in the fall.
After the trial, a subscription will cost $9.99 per month or $14.99 monthly for a family plan that includes up to six people.
Subscribers will receive access to the streaming music catalog. The Connect network and Beats Radio 1 will be available to all users for free.