Citing an anonymous source, the Associated Press reports that Apple is aiming high with its hotly-anticipated music streaming service: 100 million subscribers. That’s more than double the 41 million paying subscribers for music streaming services provided by Spotify, Pandora, Dezeer and others combined, as per data coming from the International Federation of the Phonographic Industry.
Considering Apple’s $3 billion acquisition, the music streaming service is expected to be an improved version of Beats Music. The source confirmed the $10/month subscription rate, and stated that Apple will offer a free three-month trial period, focus on human curated playlists and — of course — exclusive content. It’s free offering, iTunes Radio, will be improved, with a live online radio station featuring DJs like former BBC host Zane Lowe and artists Pharrell, Drake, Muse and David Guetta, the source whispered.
While Apple wouldn’t comment last week, a person familiar with its plans said Apple has an ambitious goal to sign up 100 million subscribers for a new streaming service that will cost $10 a month and compete with other on-demand services such as Spotify and Rhapsody. Beats users will be migrated over before eventually closing down, and buyers of songs and albums on iTunes will also be presented with the option to purchase a subscription instead.
Analysts speaking with the Associated Press believe that, despite being late in the game, Apple is stepping into the ring with a massive advantage: its iPhone customer base. We don’t have to go too far back in time, just have a look at the Q1 earnings: Apple sold 61 million iPhones, all of which represent a potential customer.
The new streaming service is expected to be unveiled today at Apple’s annual Worldwide Developers’ Conference, alongside other announcements such as Apple Pay in the UK. The event kicks off on 10:00 am Pacific. Stay tuned for details.