Apple reveals new Music app to rival Spotify

19:36 | 09.06.2015
Apple reveals new Music app to rival Spotify

Apple reveals new Music app to rival Spotify

Apple has announced a new app that combines a streaming song and music video library, an internet radio station and a way for artists to share unreleased tracks and other material.

It includes a recommendation system that uses both human curators and computer algorithms to suggest songs.

The service is set to challenge Spotify, Tidal and other music apps.

Apple also revealed that the UK will be the first country to get its Apple Pay service outside of the US.

"A lot of people in the industry see the launch of the music service as a big deal, and their hope is that this will help take subscription-based streaming mainstream," commented Chris Cooke, from the news site Complete Music Update.

"But Spotify has an ad-supported free level to help sell its premium packages, which Apple doesn't, so it still has a unique selling point."

Apple's service introduces the Beats 1 radio station, which will be hosted by ex-BBC DJ Zane Lowe among other big name sign-ups.

The app also works with Apple's voice-controlled virtual assistant Siri, allowing subscribers to ask it to play a song from a movie soundtrack or year without needing to know the track's name.

"Apple is arriving late to the music streaming business, due in part to Steve Jobs' refusal to believe that music subscription services would ever work," said James McQuivey from the Forrester consultancy.

But, he added, that he believed it would catch up with market leader Spotify's 15 million paying subscribers in less than a year.
Another analyst suggested Apple might face a challenge explaining all the features on offer.

"Apple Music is a complex mix of services including music streaming, live radio, music discovery and social interaction with artists," said Geoff Blaber from CCS Insight.

"It's too early to tell whether this is what users are waiting for but Apple's installed base, the three month free subscription and family bundle are huge levers that Apple's competitors will be wary of."

Apple said the service would launch in more than 100 countries on 30 June, and would cost $9.99 (£6.50) per month in the US for one person - the same as Spotify - or $14.99 for families containing up to six people.

Users do not need to pay to listen to Beats 1.

The Music app will initially be restricted to iOS, Windows PCs and Mac computers, but will extend to Android phones and Apple TVs later in the year.

Apple Pay

Apple is also seeking to expand its digital wallet scheme.

In the US, Apple Pay will add support for retailers' own payment and loyalty cards.

And in the UK, people will be able to make payments by waving their iPhones or Apple Watches at contactless payment terminals from next month.

The firm said the service would be offered at about 250,000 locations across the UK and would cover 70% of issued credit and debit cards.

Take-up of Apple Pay has been limited since it launched in the US in October.

A survey by the Reuters news agency recently indicated that less than a quarter of the US's leading retailers accepted the facility.

That is partly because Wal-Mart and 18 other stores have teamed up to launch a rival scheme, and they have agreed not to support Apple's facility until 2016 at the earliest.


One expert said that the tech firm should find it easier to attract support in the UK, where stores already used machines for their tap-and-go payment card transactions that would become compatible.

"The equipment is already out there and Visa Europe has made the necessary infrastructure changes that pave the way for an Apple Pay rollout - it just hasn't flipped the switch yet," explained Chris Green from the Davies Murphy Group consultancy.

"In the US there have been instances where retailers have been committed to specific payment handling service contracts that have prohibited them from being involved in Apple Pay as it would represent a breach of contract for them.

"In contrast in the UK there aren't those types of roadblocks."

Apple said that the pharmacy Boots, the coffee chain Costa, the supermarket Waitrose and the London transport network were among British organisations that would support Apple Pay.

Barclays Bank was a notable omission from the list of lenders committed to the service.

But Barclays has told the BBC it is in "constructive talks" with the US firm.

(BBC)

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