Music streaming service to be launch by youtube soon

Google’s YouTube will launch a music streaming service next week, it said on Thursday, looking to use its popular internet video brand to tap the growing market for paid music streaming.
YouTube Music, which will offer both ad-supported and $9.99-per-month versions, will compete directly with services from Spotify Technology SA, Pandora Media Inc, Apple Inc and Amazon.com Inc.
YouTube Music will launch on May 22, and include features such as personalized playlists based on a user’s YouTube history. The service is expected to eventually replace Google Play Music, the Alphabet Inc unit’s existing music streaming brand.
The news sent stocks of music streaming companies Spotify and Pandora lower by about 2 percent on Thursday morning.

“Google has an advantage given YouTube’s more than a billion users and viewers. So, it has opportunities to convert some into YouTube Music listeners or premium subscribers,” said Ali Mogharabi, analyst at Morningstar Research.
The growing adoption of paid music streaming has helped wean a generation of music listeners away from free or pirated music, and has led to services such as Spotify and Apple Music becoming the recording industry’s single biggest revenue source.

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