Apple Inc. AAPL's latest service, Apple Music, will be launched on Tuesday.
Michael Andronico, associate editor at Tom's Guide, was on CNBC Monday to discuss whether the service will do as well as expected and its advantages over competition.
Advantage
"I think one thing that will make Apple Music stand out [...] is that it will integrate with all of the songs you already own on iTunes," Andronico said. "So, it will kind of browse both the music that you own and the music that's streaming from the cloud in one convenient place.
"So, for people that have really invested a lot in iTunes that have had an iPhone or even an iPod for years and spent a lot of money on iTunes, this is kind of compelling – to have that library on top of all these other songs that you can stream right from the cloud."
Success
Andronico was asked if Apple Music can be successful when there are well-established players already in the market and what will that success be dependent upon. He replied, "I think it will do well on brand recognition alone. People trust Apple. People use Apple apps. And everyone that has an iOS device will get to try Apple music for three months."
He continued, "That's a significant free trial for a brand-new service. So, that'll be very important early on. And as far as keeping people hooked, the music library is important, which I think Apple is already doing a solid job with. They have kind of turned around some of their policies; they have agreed to pay artists during this free-trial period.
"And to the point that Taylor Swift is known for not really allowing her songs to be streamed, she is actually going to provide some of her music to Apple Music. So, it's really about securing those deals with artists that aren't often are on streaming services that'll go a long way," Andronico concluded.
Image Credit: Public Domain© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.