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Music Industry 14 November, 2011

Google Set To Launch Music Service Without Agreements From Warner And Sony

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Google Set To Launch Music Service Without Agreements From Warner And Sony
LOS ANGELES (Top40 Charts) Google sent invitations today for a press event, to be held in Los Angeles, where the company is expected to add downloads to its cloud music service, as well as unveil social-networking features.

Google has signed a licensing agreement for the new service with Universal Music Group but does not have deals in place with Sony Music Entertainment or Warner Music Group. It is unclear whether EMI would participate.

Part of the reason negotiations are tough for Google with major music labels is that Google has had issues in the past with some publishers over allegedly helping people to infringe their copyrights with services like YouTube.

Apparently, negotiations with the labels have been tense. Part of the reason is that Google apparently wants the music service to be Android focused while the labels want a more open iTunes competitor. I am sure a lot of the issue is one of money as well. We will learn more when the Spinal Tap event kicks off November 16.

Google is once again launching a major part of its music service without acquiring licenses and this may serve to widen the rift between the company and some of the labels. Google launched the test version of its cloud music service earlier this year without licenses.






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