Google is creating an online music store to compete with Apple and Amazon, reports Wall Street Journal.
According to WSJ report, the company may open the service without the rights to sell songs from many of the biggest record labels, according to people familiar with the matter. Google has been in liscencing talks with all of the major record labels including Universal Music Group, Sony Music, Warner Music Group & EMI Group. While Google has been in talks, not all have sounded fruitful.
According to these people, all four of the major music companies have held talks to license their catalogs to Google for the new online store. If a Google Music store is launched, it may not have the ability to offer music from the largest three labels as reports say Google is only close to a deal with Citigroup Inc.'s EMI Group, they said.
EMI artists include Katy Perry, The Gorillaz, Lady Antebellum and Pink Floyd.
According to numerous music executives, Google is eager to open the store in the next several weeks. It would most likely be connected to Google's existing cloud service, Music Beta, which lets people back up their songs on remote servers and stream them to mobile phones and other devices, said these executives, who all spoke on condition of anonymity because the talks were private and continuing.
Google is aiming for a more extensive service, but the labels and publishers do not feel that all of their concerns have been addressed.
"We want to make sure the locker doesn't become a bastion of piracy," one senior label executive said.
To operate the most efficient kind of locker service, a company like Google needs special licenses from the music copyright holders. Having failed to get licenses from the labels and publishers, Google opened a scaled-down version of Music Beta in May, and its executives publicly criticized the labels for blocking the deals.
Music Beta was announced five weeks after Amazon opened a similar unlicensed service, Cloud Drive.
A Google spokeswoman declined to comment, and the labels also had no official comment about Google's plans.