Apple Music is all-set to go live on June 30 with the release of iOS 8.4 software update. During WWDC 2015 Apple announced that the streaming music service will offer a generous three-month free trial period for all users. Record labels and independent artists are now expressing their concerns over the free trial.
The Beggars Group, one of the largest independent group labels in Europe has published their thoughts on its official blog. The group says that have not come to an agreement with the new service. The group is concerned about artists losing remuneration during the three-month period and doesn’t see any reason for artists to be impacted by “Apple’s customer acquisition costs”.
According to a report published by The Telegraph, chairman of industry lobby group UK Music, Andy Heath told the publication that no independent British label has agreed to allow Apple Music to stream their music during the free trial.
The labels fear loss of revenue from competing services like Spotify as users try out Apple’s new service. Even though Apple will be paying higher revenue share than the industry standard it hasn’t worked out as a compelling factor for record labels who work on tight margins to offer free music during the trial.
It’s not just record labels and independent artists who’ve shared mixed reactions to Apple Music. Taylor Swift’s album 1989 will not be available for streaming on Apple Music just like Spotify. However, Taylor Swift’s other albums released in the past will be available for streaming.
Apple is still negotiating terms with record labels and independent artists. The new service aims to allow users to discover new music, get curated playlists created by humans and connect with their favourite artists.
Apple helped save the music industry from the issue of music piracy by introducing iTunes. Now, the company is on a mission to catch-on the next big trend in the music industry – streaming.
It will be interesting to see if Apple is able to crack deals with these record labels and artists before the official launch of Apple Music on June 30.