Thursday, May 12, 2011

Google Music Roundup: $25 Million PushLife Acquisition, Negotiation Rumors Heat Up


Finally! Some more substantial evidence that Google is readying a music service! For years, rumors have been trickling in that the search giant plans to create a cloud-based subscription music service that would store all your songs in a "digital locker." But until now, the rumors have amounted to little more than, well, rumors.
Now we've learned two more reasons why prospects of a Google music service are looking increasingly more likely.
First, Google confirmed it had acquired mobile music startup PushLife for $25 million. The purchase of PushLife indicates that Google is very cognizant that it'll take more than the cloud to migrate users from a competing service. After all, the majority of consumers are hooked on Apple--it's won't be easy to wean them off iTunes. But that's exactly what Google is likely hoping to do with PushLife, which, according to according to eWeek, enables users to easily port their iTunes music libraries from desktops to Android-based smartphones.
Second, a report released Monday indicates Google has been engaged in albeit somewhat thorny negotiations with major record labels. According to the Music Void, citing a source close to the negotiations, Google is having difficulty locking down licensing deals with the labels and is in dispute over how much to charge for subscriptions.
That's not great news for Google, but it at least provides some confirmation that Google is far enough along in the negotiation process to begin "dogfooding" the service, or testing it internally, as recent reports have indicated. Coupled with leaked screenshots of an Android music app, Google's music service might actually becoming to fruition.
Then again, how long have consumers hoped for a similar outcome for Spotify?

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