Apple’s Online Radio Service to Challenge Pandora in 2013 | Radio 2.0 (Esp) | Scoop.it
Apple Inc. has intensified talks with major music labels to start an advertising supported streaming-radio competitor to Pandora Media Inc. by early next year, according to people with knowledge of the negotiations.

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“Radio is a natural step for Apple,” Rich Greenfield, an analyst with BTIG LLC in New York, said in an interview. “This helps Apple dominate in cars, where people listen to an average of two hours of radio a day.”

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“If Apple offers a radio product, it will be far superior to anything else on the market,” said Greenfield, who recommends selling Pandora shares and doesn’t cover Apple. “They’re seeking direct licenses to avoid all the restrictions that come with a compulsory license.”