iTunes Radio Now Has a Global Plan to Destroy Pandora…

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iTunes Radio has only been out for one month, yet Apple is already devising a plan to globally destroy Pandora.

Pandora currently operates in the United States, Australia, and New Zealand, though Bloomberg is now reporting that iTunes Radio will be moving into these markets early next year.  In addition, iTunes Radio will move into Sweden, Norway, Denmark, and surrounding countries around the same time.

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Even more importantly, iTunes Radio is also scheduled to arrive in the UK and Canada in early 2014. Pandora has not yet been able to secure affordable licensing deals in these countries, instead relying “on rights granted by government entities.”  Apple’s wallet-power has allowed direct, untouchable deals with the likes of Universal Music Group, Warner Music Group, and Sony Music Entertainment, among others.

That’s sort of like Spotify, but without the implosively-scary business model.  Looking ahead, Apple has lofty goals for iTunes Radio, they hope to eventually offer it in 100 countries.

Bonus round: can you name the album cover adapted at top?

20 Responses

  1. Carlos de Nicaragua

    Pandora I a say this Yah one is :La oferta y la demanda…Esto en un buen español, seen.

  2. ja

    In a continuous race to the bottom, things going from bad to worse for artist royalties in internet radio from Pandora to now iTunes Radio.

    • Visitor

      Let’s not forget that streaming now moves away from the old non-paying structures such as Spotify and Pandora and into the world’s largest record store.

      • GGG

        Will be interesting to see to what extent that matters. If streaming on iTunes yields a high number of impulse purchases.

    • John Matarazzo

      Agreed.iTunes radio doesn’t pay ANY royalties to indie artists

      • K'SANDRA

        feels like the industry is suffering so much they want to kick us indies out to keep the what’s remaining in the majors pocket. i still pledge for PANDORA doing a great job playing TONS of my music there

  3. Casey

    I doubt Pandora really cares. They have made it quite clear they have no plan on expanding much anytime soon, if ever.

  4. Yves Villeneuve

    Nina has quickly become one of the Witches of DMN.

  5. Jason Feinberg

    Bonus round: can you name the album cover adapted at top?
    Henry Rollins “Life Time” of course!

  6. JOhn Matarazzo

    I don;t see how this is “better”. You have to agree to relinquish your airplay royalties if you want to be on iTunes radio.
    Same ol’ same ol’

  7. Is this a joke?

    Apple has much bigger concerns to contend with in the handset market (ever heard of Android, Samsung?) to waste their time formulating a “global plan to destroy Pandora.” You’re either a moron or on somebody’s payroll.

    • Nina Ulloa

      Everyone’s on someone’s payroll, but that’s irrelevant

  8. hippydog

    it will be interesting to see the actual impact..
    since its not available on the older Ipods (as you need ios7) and most likely will not be available on Android..
    so theres what? at least 1/3 of the market unavailable from the start..

  9. k

    iTunes Radio needs to work on a few things IMO. When you create your own station based on an artist, they consistently play songs that are not even close to that artist. It’s odd. Frustrating. Makes me stop listening. They have some work to do on the integrity of the product.

  10. Moan and groan

    Spotify or a similar actor will eventually dominate the music listening habits of the western world. Apple radio will fizzle just like everything other apple product AJ. (after Jobs) Streaming is the future and filesales will dwindle to nothing during the next years. What we or anyone else “feels” about this is not interesting or relevant. How to deal with the new reality is very relevant. Sadly no-one here seems to bother about anything else than whining and wishful thinking.
    PS: IF streaming led to impulse purchases Spotify would have known this and kept its purchase links. They are in fact the only company who have tried this strategy and given up on it.

  11. Marc Alan

    I dont know how aware the digital music news community is to this, but Spotify is now signing bands directly (or through the indy labels), exchanging a higher royalty rate and premium promotion in exchange for exclusive new content. This supports what Ive read about their plans to develop new artists. I dont know how successful this will be, personally speaking, for other their service, or for the artists, and I dont know how it factors with them running so low on cash as I have been reading. I would be very concerned to be an artist signed to Spotify at this point.

    • frankb

      So that would mean the streaming radio service is morphing into the record label model 🙂 Identify new artists, provide them with a royalty rate, provide them premium promotion in return for exclusive content. Isn’t that what the record labels used to (or still do) do?
      What is predictable is that sooner or later, ARTISTS will decide that the internet is a great thing and their fans will pay THEM a premium (beyond the cost of a download) for the right to an enhanced “personal” relationship with premium content NOT available in a download. The question is will Youtube, Google and Bing bury them, prevent them from having a relationship with their fans, simply make discovery “hard” if not impossible. Its like when you are an artist and you type in your name to google and 64 pirating sites come up before fans can find your official web page, twitter, facebook, reverb, and youtube channel. We are to believe that the search process has not been tampered with and this is just the result of a natural “google search algorithm” of what the normal person would be looking for when they typed in an artists name.
      The download is what caused all this. It’s to easy to steal, and it’s too close to a stream. As soon as artists wake up and start selling a RELATIONSHIP with exclusive content on top of their download, things could get interesting. Airborne.com just went down in flames, but they were on to something with their concept. The next step to building value back into the music is to create something that is BETTER than a download, not very much like a stream. Access to a relationship with an artist might just be that better product.

  12. The Bangkok Five

    I think all artists should short Pandora’s stock and then remove their content and make all the money we’ve lost on streaming services as we watch in celebration as the stock price crashes. :). We should do this to Spotify at the same time to double our returns.