Apple’s iTunes cloud music service on hold
Despite speculation Apple would introduce a cloud-based version of its iTunes digital music service sometime this summer, the project is apparently on hold, with the computing giant reportedly telling record label execs that any cloud music efforts introduced in the next few months will be “modest in scope” and offer none of the more advanced features outlined in earlier discussions with the music industry, e.g. storing consumers’ content on its servers. CNet reports the circumstances behind the holdup are unclear, but notes that Apple has yet to negotiate the licensing agreements necessary to offer a streaming music solution.
Some insiders believe Apple has delayed the cloud service to expand the initiative into video streaming – sources inside Hollywood studios indicate Apple plans to offer “digital shelves” enabling consumers to store movies and television content on the company’s servers. Others speculate the holdup is directly related to the server farm Apple is building in North Carolina, scheduled for completion by the end of 2010. Multiple sources have said the servers will make up the backbone of the cloud solution.
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