Apple Signs New Deals with Major Record Labels for Apple Music

Apple Music

Apple has signed new deals with most of the major record labels for its music streaming service. This means that your favorite artist’s music will stay in your library for a long time.

Financial Times is reporting that the iPhone maker has signed new deals with major music record labels for Apple Music. Deals have been signed with Sony Music, Universal Music, and Warner Music. These labels represent artists like Adele, Lizzo, and Taylor Swift.

While these record labels have been renewing deals with other music streaming services such as Spotify on a monthly basis, they have signed a multi-year deal with Apple Music. It is being reported that these multi-year deals were possible because Apple is easier and friendlier to deal with when compared to Spotify.

The new deals are great for Apple Music and its users, but it should be noted that the Cupertino-based firm can’t bundle its music streaming with other services such as Apple TV+. It was being reported earlier that the company is planning to bundled Apple Music, Apple News, and Apple TV+ together in a single plan.

Record labels were pushing back against allowing Apple to bundle music streaming service with other services as that would reduce the payouts received by labels and artists. However, with the power that Apple has, it is possible that the company could still work out deals with labels to allow it to bundle music streaming with its premium news and video streaming service.

Our Take

Apple’s new long-term deals are great for both the iPhone maker and Apple Music users. Especially since it is in a war with Spotify to become the biggest music streaming service.

While Spotify has more than double the number of subscribers compared to Apple Music, most of its subscribers are in the free tier. Plus, Spotify’s plan to force artists and labels to pay to advertise their music on the home page isn’t going to make things easier. It is possible that Apple could win in the long run.

Do you think Apple could defeat Spotify? Which music streaming service are you subscribed to? Let us know in the comments section below.

[Source: Financial Times]