YouTube music service to launch in summer; holdouts to be blocked

Labels representing 95% of the music industry have signed up for YouTube's (GOOG -0.2%) long-rumored subscription music service, says exec Robert Kyncl. However, the holdouts (largely indie labels) will see their content blocked from YouTube, ostensibly to preserve a good user experience for subscribers.

YouTube will start internally testing the service in the coming days, before doing a full launch later this summer.

Though the subscription music market is intensely competitive - Spotify dominates, and Apple is about to join the fray - YouTube's huge reach (1B+ monthly users), together with its ability to pair ad-free music videos and audio-only streaming, give it a good chance to fare better than Google's not-too-popular All Access music service (launched last year).

Impala, a trade group representing indie labels, is complaining to the EU about Google's move. Meanwhile, one label chief says his problem with YouTube wasn't its subscription licensing terms, but free tier enhancements he fears will lower subscriptions for services such as Spotify.

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Comments (6)
  • stoj
    , contributor
    Comments (778) | Send Message
    of course ! it will lower Spotify subs, when Google does right by music streaming. Also if Pandora wasn't banned in Europe. But these are crazy, selfevident arguments
    17 Jun 2014, 04:43 PM Reply Like
  • Dubblasta
    , contributor
    Comment (1) | Send Message
    When Blockchain launches their music site Youtube will rue the day it locked out Indie Labels. Bitcoin will be embraced by millions of Electronic Dance music lovers making it easier to buy the Indie Label music they crave. Spotify is not a friend to artist ---free music is an anathema to them.
    17 Jun 2014, 05:32 PM Reply Like
  • JillKennedy
    , contributor
    Comments (69) | Send Message
    As long as they don't touch Seamus. He is a genius and the greatest Irish singer to ever live!
    17 Jun 2014, 07:38 PM Reply Like
  • MrVincent
    , contributor
    Comments (257) | Send Message
    I will never pay for music. Its just everywhere. Now even amazon has it for Prime members.
    17 Jun 2014, 11:18 PM Reply Like
  • TitanInvestor
    , contributor
    Comments (246) | Send Message
    Another competitor to Pandora...
    18 Jun 2014, 01:57 AM Reply Like
  • Bo Yang
    , contributor
    Comments (93) | Send Message
    Isn't youtube already a music service ? Just play the video and minimize your browser window.
    18 Jun 2014, 03:01 AM Reply Like
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