Apple Music under antitrust investigation

(Baonghean) - Attorneys general in New York and Connecticut are investigating Apple's negotiations with music companies for signs of antitrust violations. Are music labels colluding or being pressured to favor Apple's music subscription service?

Apple has just launched its Apple Music service with the ambition to innovate the online music industry.

Recently, Apple launched Apple Music - an online music service with a fee of 9.99 USD/month with the ability to change the way consumers listen to music. This service is said to create a "revolution" while other music industries are struggling with the decline of customers and are still "unable to solve" the problem of finding a new way for customers to pay for music.

In a letter to New York Attorney General Eric Schneiderman, Universal Music Group said it had reached agreements with Apple and music companies such as Sony Music and Warner Music that would prevent free services from being available and prevent licensing of recorded music to any online music services.

“This letter is part of an ongoing investigation into the streaming music business, a new and disruptive industry that is changing the way people listen to and view music,” said Matt Mittenthal, a spokesman for Eric Schneiderman. “It is important to ensure that consumers benefit by continuing to develop free services.” An Apple spokesman declined to comment on the investigation.

Phuong Thao

(According to Reuters June 10)