Apple Inc. (NASDAQ:AAPL)’s forthcoming version of iOS will come bundled with a Beats Music subscription as reported by the Financial Times. What is going to be included in the bundle is not clear at this point, but this report is in sync with previous reports.
Not many details known
The Financial Times noted that, “The inclusion of the paid for Beats service in an iOS software update could happen as early as March, according to people familiar with the situation.”
Investors Flock To Hedge Funds As Markets Recover
According to a recent Credit Suisse survey, investors are more interested in hedge funds than any other major asset class going into the second half of the year. Q1 2020 hedge fund letters, conferences and more This is a big switch from investor sentiment in the first half of 2020. Indeed, hedge fund launches slowed Read More
The bundling of Beats Music into the iOS is expected to take place as early as March, but no specification regarding how it will take place has been provided by the FT report. A pre-loaded app that bears the brand name Beats is a possible feature that we could see in the future. There is also a high probability that the existing iOS music app will have the service baked into it, which is very similar to the iTunes Radio.
In May this year, Apple acquired Beats, known primarily for its headphones, for $3 bn (£1.9 bn). To date there have been no comments from the iPhone maker over the FT report.
How will Apple introduce Beats?
The most successful and effective way of reaching out to new customers quickly is pre-installing apps on devices. However, Apple Inc. (NASDAQ:AAPL) had some problems earlier this year when it put a link to download U2’s new album for free onto every iTunes account.
The value of streaming music services to artists has been receiving attention lately, especially after Taylor Swift pulled out of Spotify, claiming the payment received undervalued her work. The Swedish firm has been accused by several artists of not paying enough.
If Apple follows the same route to reach users, then it will be pitted against Spotify. Apart from Spotify, the new service from Apple could also challenge Google, who revealed its plans last week to unveil its much-awaited paid monthly music subscription service called YouTube Music Key.
On Wednesday, Apple shares closed down 0.69% at $114.67, while year to date shares are up over 43%.