Google's music entreaties fall favorably on record companies' ears
Last updated: September 3, 2010 - 7:29am
Google, which is developing a digital music service, is finding a warm welcome at record companies that are hoping the technology company can loosen Apple's grip on the digital music market with its iTunes music store.
The talks center on securing a sweeping set of licenses that would give Google the latitude to offer an array of products and services through its Android operating system for mobile phones as well as through computer browsers, said executives familiar with the discussions. Music companies have all but rolled out the red carpet for Google, believing that it can serve as a counterweight against Apple, which controls more than 80% of digital music sales via its iTunes store. Though record companies collect 70% of the revenue generated by iTunes, they have bristled under Apple's terms, which have in the past limited the prices music companies can charge, among other things. With Google on the scene, the hope is that music companies can dilute their dependence on Apple.
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