Beats Music Streaming Could Rejuvenate iTunes
Last quarter, iTunes revenue dropped 24 percent year-over-year, according to Fortune. iTunes Radio has not been a hit among iTunes’ 800 million subscribers as just 2.5 percent use the streaming service. With Pandora and Spotify boasting more than 76 million and 40 million users, respectively, streaming is in and downloading is out.
Beats Music has just 250,000 subscribers, but being merged with iTunes could seriously boost those numbers and reshape iTunes. With Apple’s expected HD audio feature on iOS 8, we could see a free streaming service in addition to an HD streaming service for paid subscribers.