May 30 - Amazon plans to launch a streaming music service, reports BuzzFeed. But it won't be a Pandora killer. Fred Katayama reports.
Amazon isn't missing a beat. On the heels of Apple's purchase of Beats Electronics, the Internet retailer will launch a streaming music service in June or July, according to BuzzFeed. It'll reportedly be part of Amazon's Prime membership service, adding music to its diet of movies and TV shows, e-books lending library and two-day shipping. But it won't be a Pandora killer. Amazon's selection will be limited to what BuzzFeed calls a "potluck" of songs that are at least six months old. By contrast, Pandora, Spotify, and Beats offer a full universe, with a few exceptions. The approach is similar to what Amazon took with its HBO deal, offering older shows on Prime Instant Video. But an Amazon music offering will be a bonus to Prime subscribers who were recently slapped with a 25 percent hike in annual membership fees. For music labels, offering older songs means their latest hits they want to sell won't be cannibalized. And for Amazon which also sells songs, the moves come just when streaming is seen by some as the next big thing as sales of digital music declines.