Google and Warner Music ink a streaming deal, may separate Play and YouTube
There have been rumors swirling about Google trying to put together its own music streaming service, and the news is getting more complex. Not only are there reports that Google has inked a deal with one major record label, Warner Music, but there are also reports saying that there may be something happening with YouTube as well.
So, the report from Billboard says that Google has come to a deal with Warner Music on streaming. The interesting thing is that supposedly the deal makes a clear distinction between two different streaming music services from Google: one through Google Play and the other through YouTube. The side through Google Play makes perfect sense, because that's the home of Google Play Music.
The YouTube side seems to connect with the subscription services that Google was reportedly looking into for the platform. A YouTube spokesman did tell Billboard that "there are some content creators that think they would benefit from a subscription revenue stream in addition to ads, so we're looking at that." So, it seems that the premium subscriptions on YouTube may be something pushed by record labels more than other content creators. It would make sense, since record companies are notorious for not understanding the marketing value of the Internet.
The report also says that Google is still in deep negotiations with Universal (who was reportedly excited about Google's service), and Sony Music.
No word yet on when the services are expected to launch, but it sounds like Google is working pretty hard to have deals in place in time for Google I/O.