Will the tech giant will tap its vast resources to move into this already crowded space?
The Internet radio landscape is about to get a little more crowded, as Apple reportedly makes plans to develop their own music streaming service.
This would put the music giant in competition with Pandora, the 12-year-old music-streaming platform that has long dominated the market.
Apple is in early talks with major music labels for their radio component, sources told the The New York Times. The outlet reports the service would likely come in the form of a pre-installed app on future iPhones and iPads, and could potentially link to a user’s iTunes account to gauge their musical preferences.
But with wildly popular services like Pandora and iHeartRadio already dominating the space, what would Apple bring to the table that isn't already there?
According to the Times, the tech giant is gunning for more direct licensing deals, which would let users play more songs by a particular artist within an hour. Most other services operate on limited licensing that restricts the number of artist plays per hour. Pandora, for example, limits users to four songs by an artist within a three-hour window. It is also rumored that Apple’s radio will include advertisements, though it's unclear if users would pay a subscription fee.
Regardless of Apple's specific plans, any official announcement is months away, as Apple must still finalize all of its negotiations with the record labels. Pandora already counts Spotify, Grooveshark, and iHeartRadio as competition in the space.