All Things Digital reports that Google is having difficulties as it works to develop its own iTunes competitor, describing the company's talks with major record labels as "going backwards". Google has been working since last year to roll out a music service that would also integrate with the company's Android platform in an attempt to rival the iTunes-iOS mobile media combination and move into cloud-based storage.
Google's negotiations with the big music labels are "broken," says a source familiar with the search giant's thinking: "There's definitely a problem with the Google music conversations." Another industry source says Google's top executives are reconsidering their music plans altogether. "They've gone backwards," I'm told.
There appears to be growing discontentment at other labels due in part to Google potentially changing its demands at the last minute and label concerns over Amazon's new cloud-based storage service and music player launched late last month.
Apple of course is widely rumored to be working on a revamp of its MobileMe services that would allow users to store their media in the cloud and access it from any Internet-connected Apple device. The company has been said to be talking with record labels for many months now, working to get labels on board for the service that labels have repeatedly said is not a permitted usage under current distribution contracts.
This is one short excerpt and I read several more. Cloud based storage for music or video is not something the media companies want. Apple has been working on this for a long time and is not doing it because they know that they have to get the labels willingly on board. Google's approach is the same as they do everything. Haphazard and with an attitude. Amazon is much the same way. Read about the tactics Amazon uses to keep from having to charge tax for their sales. No matter how you feel about taxes, you have to admit that they are strong arming the states. Tactics include court challenges, pulling facilities in states that charge taxes, and cutting associates if a state starts charging taxes.
I think the labels have too much clout and are a dying breed. However, they do represent the artists. I am very careful about my money. I will not spend my bucks for seeing a music group, nor a sporting event. I will pay a reasonable cost for music and videos. And when I buy something, I intend to play it on any media player I own. That is why, until Apple was instrumental in getting the labels to back off on DRM, all my purchases were made on CD or DVD. Now, I am willing to buy digital content from reputable vendors like Apple and Amazon.
I do not see my ever using cloud storage, but those who do use it, should have the right to store their music on it. However, a hardline approach to the labels is not wise. They are already losing money, and telling them they must do it Google's way, or Amazon's way is just going to get their backs up and make them lock their heels in.