The news comes as Google is attempting to get more involved with entertainment content distribution. It is currently moving to add professional content on its YouTube video site and is to roll out a digital bookstore this year.
Google's move into music downloads would further muddy ties with Apple Inc., which has witnessed relations with Google sour increasingly since the unveiling of Google's mobile Android software seen as a direct rival to the iPhone by Apple.
Record companies would probably welcome such a service as they have become increasingly worried about Apple's stranglehold on digital music sale. Apple services accounted for 28% of all music purchased by U.S. consumers in the first quarter, leaving Wal-Mart and Amazon far behind at 12% each.
The first music offering from Google, according to the WSJ sources, is a basic music download store that lets users purchase tracks. The store would apparently be linked to Google's search engine, an association that will probably upset a lot of online music outlets if true.
Beyond the initial store, Google is to develop a cloud-based music subscription service compatible with mobile phones running Android software.
Written by: James Delahunty @ 21 Jun 2010 21:06
