US radio giant iHeartMedia are set to announce this week the launch of their own major paid music streaming service.
Bob Pittman, who is Chief Executive of iHeartMedia, is expected to announce the launch during the company’s music festival based in Las Vegas this week.
Before iHeartMedia can launch this service they still need to wrap up deals to secure music licenses. But, their plan is to unveil two different packages for their music subscriptions.
The first of these subscriptions will be priced at $5 and is an ad-free radio service, which is not unlike the service Pandora has recently rolled out and is the same price as Amazons service for their Echo player.
The second of their subscriptions plans is a full on-demand music streaming service at $10 a month which will be in direct competition with the likes of Apple Music, Spotify Premium and Deezer.
IHeartRadio has already built a sizeable digital business with its iHeartRadio app, which lets users stream the company’s 850 stations. The Texas-based company hope to repeat this success with a full music streaming service.
The new service will require new deals from major record labels before they can be released. But due to increasing pressure from competitors like Pandora, Spotify and Apple, who have been stealing listeners away, iHeartMedia will surely be in a rush to launch its new service.
“Radio has underinvested in digital. I’m very impressed with iHeart services, and although they haven’t announced anything in response to Pandora, I’ve got to believe they are feeling the heat of competition, especially in the car, which has been the one area they have enjoyed exclusive positioning,” Larry Miller, a director at NYU’s Steinhardt School of Culture, told The NY Post.
Another week and another new streaming service, it seems like every man and his dog is offering an alternative to Spotify and Apple Music.
Why not try a free alternative? Join Find What You Like for FREE with NO ads, to search, create and listen to your favourite music together.