by Christopher Freeburn | May 15, 2013 11:13 am
After securing agreements with major record labels, Google (NASDAQ:GOOG) will unveil its new streaming radio service this week.
Unnamed inside sources tell TheVerge that the Internet search giant has negotiated licensing fee agreements with Sony‘s (NYSE:SNE) Music Entertainment division and Universal Music Group. The company is expected to announce the service at its Google I/O conference on Wednesday.
Google had already signed licensing deals with Warner Music Group.
The subscription service will compete with existing online radio services like Spotify, Rdio and Pandora (NYSE:P). Google will sell subscriptions through its Google Play Android app store. It is planning a separate subscription service for its YouTube website.
Pricing for Google’s service hasn’t been indicated.
Google appears to have beaten rival Apple (NASDAQ:AAPL) to the Internet radio punch. The iPad-maker has been long-rumored to be working on an iRadio service of its own, but has reportedly failed to obtain licensing deals with all the major record labels.
Shares of Google rose more than 2% in Wednesday morning trading.
Source URL: http://investorplace.com/2013/05/get-ready-for-googles-spotify-competitor/
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