Facebook is planning to launch a music-streaming service that will directly compete with Spotify and Apple Music, anonymous sources tell Music Ally’s Eamonn Forde.
While this service is supposedly still in the initial stages of development, Facebook is preparing to launch of music videos on its social network within the next few months, according to Music Ally.
Perhaps this is why Facebook has recently been in talks with major music labels?
This move would represent the first part of Facebook’s push to compete in the music market.
The service will function similarly to YouTube’s music-video efforts, with Facebook paying royalties to rights holders and affording them a system of registering their content to prevent piracy, Music Ally says.
And Facebook will match YouTube’s royalty rates at launch time.
An anonymous source told Music Ally that Facebook’s music-video plans were at an “advanced stage” and that the service was “way ahead of YouTube.”
This experiment in the music-video market would be a crucial test to see how and when Facebook may enter the music-streaming industry.
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Source: Business Insider