Apple Inc. (AAPL): One Step Closer to a Big Reveal at WWDC Next Week?

Apple Inc. (NASDAQ:AAPL) just might be getting a step closer to making an announcement about a huge new service opportunity. Can you imagine a service that is brand-new but potentially could serve as many as 500 million people on the first day? Yeah, we have kind of a hard time conceptualizing that too.

A Leading Company Cheaper Than 90% Of Blue Chips... And It Recently Bounced 12%As we reported recently, Apple Inc. (NASDAQ:AAPL) has been working to sign on major music labels and their publishing arms to develop a new music-streaming service that would key off of iTunes and would be like Pandora, but only times seven or so. Recently we wrote about Apple reaching a deal with Warner Music and its publishing division, Warner/Chappell, as part of a potential iRadio service, but that Sony Music and its publisher Sony/ATV has been the final holdout among the big three.

The largest  music label, Universal Music, was actually the first to sign on to this deal with Apple Inc. (NASDAQ:AAPL). Well apparently the deal With Warner and Warner/Chappell was the nudge needed, because Friday it was announced that Apple had reached an agreement with Sony Music for rights to its music. A separate deal with Sony/ATV is still in the works, but getting the labels on board is the first giant step toward launching the iRadio service. There was talk that the service would be unveiled at the Wordlwide Developers Conference (WWDC) that starts Monday, but until the Warner and Sony deals, that talk had become doubt. Now with these latest agreement, it seems that all systems are a go to learn about this new service.

Rumors about the service has welled up over the last few months, giving indications about how and in what ways Apple Inc. (NASDAQ:AAPL) iRadio would be different from a top competitor like Pandora Media Inc (NYSE:P). First of all, Pandora has about 70 million current paid subscribers; Apple has about 400 million customers tied to iTunes, and the iRadio service will supposedly be free and ad-supported. Pandora is currently offered in the U.S., Australia and New Zealand; iRadio would be expected to roll out to several more countries including the U.K., France, Germany and Japan.

So what about those publishers? Can Apple Inc. (NASDAQ:AAPL) get them on board?

The publishing houses for these music labels have been the sticking point, mainly because Apple Inc. (NASDAQ:AAPL) wants to go with the free, ad-supported version of music-streaming in contrast with Pandora Media Inc (NYSE:P). Warner Music’s publishing arm signed on just last week, agreeing to about 10 percent of all ad revenue that Apple generates with the service, which is more than twice what Pandora offers and could be the amount that will get Universal’s and Sony’s publishers to agree to a deal. Sony’s publishing chief was actually on the record as saying he was seeking a 10- to 15-percent cut  in order to reach a deal.

What are your thoughts? Would you be interested in an Apple Inc. (NASDAQ:AAPL) iRadio service? Give us your thoughts about this in the comments section below.

DISCLOSURE: None

blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

Qihoo 360 Technology Co Ltd (QIHU), Actavis plc (ACT), Yahoo! Inc. (YHOO) Among 20 Long Ideas from Sohn Canada

The 10 Laziest Countries in the World

The 10 Most Polluted Countries in the World

The 10 Most Dangerous Cities in America 2014

The Top 10 Gold Producing Countries in the World

The 10 Tallest Buildings in the World

The 10 Richest Stand Up Comedians in the World

The 10 Fattest Countries in the World

The 5 Best Summer Jobs for Teens

The 10 Most Religious Countries in the World Keeping the Faith

The 10 Most Educated Countries in the World

The 10 Most Popular Cell Phones in the World

The 10 Drunkest Countries in the World

The 10 Most Expensive Private Schools in the World

The 10 Smallest Countries in the World

Walking Dead Season 5 Spoilers You’ll Wish You Didn’t Know

The 10 Poorest Countries in the World

The 10 Greenest Countries in the World

The Top 10 Countries with the Highest Population in the World

The 10 Most Visited Countries in the World

The Top 10 Star Wars Characters in the Iconic Series

The 10 Most Expensive Android Phones in the World

5 Reasons Why The Illuminati Is Real and a Threat to Society

The 6 Scariest Halloween Costumes Ever Screamed At

The 4 Biggest Hedge Fund Managers in the World Today

The 15 Most Densely Populated Countries in the World

The 10 Biggest Tea Drinking Countries in the World

Top 6 Ways to Improve Your Checkout Process and Close Sales

The 5 Most Profitable Online Businesses You Can Start Today

The 20 Most Profitable Hospitals in the US

The 5 Most Profitable Home Businesses to Start

The 7 Teams that Will Win the Stanley Cup in 2015

The Top 10 Most Expensive Digital Cameras to Snap Stunning Shots With

The 10 Highest Quality Fast Food Restaurants In America Today

The 8 Best Halloween Decorating Ideas to Spook Up Your House

10 Marvel Women that Should Get a Movie Right Now

The 20 Best Remixes of Popular Songs that Will Make You Forget the Originals

7 Most Expensive Cities in the World

5 Least Expensive Cities in the World

10 Celebrities Who Believe In Scientology

10 High Margin Food Products to Build a Business Around

The 10 Most Expensive Clothing Stores in the United States to Get Decked Out At

The 5 Biggest Kickstarter Scams That Swindled Backers’ Donations

The 10 Most Expensive Boarding Schools In the World

50 Crazy Facts About Japan You Won’t Believe

Top 10 Least Expensive Hybrid Cars to Save the Planet With

The 10 Biggest ‘Gate’ Controversies in History

The 10 States with the Highest Nursing Shortages Leaving Their Hospitals Depleted

The 10 Best Value Investment Blogs that Every Investor Must Read

The 6 Cheapest Boarding Schools in Europe 2015

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!