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More Details About Next Week’s Apple iCloud Service Announcement. Speculation that the Service Might Be Free to Begin and Then $25 a Year

Jun 2, 2011  •  Post A Comment

The Apple Insider, culling articles by other pubs, writes that Apple’s iCloud service might start out for free and then be $25 a year.

The idea behind iCloud is that users would store their music, movies and TV shows on the Internet, available to any personal digial device a user would designate.

Apple is expected to announce details about the service this coming Monday, June 6th, 2011 in San Francisco at Apple’s Worldwide Developers Conference.

Accoding to the Insider article, the Los Angeles Times’ Company Town blog  has reported  that "The service initially will be offered for a free period to people who buy music from Apple’s iTunes digital download store. The company plans to eventually charge a subscription fee, about $25 a year, for the service."

The Insider added, "In addition to charging a subscription fee, ‘Apple would also sell advertising around its iCloud service,’ the report noted, without providing details on why Apple would both charge for the service and sell advertising. Sources also indicated that Apple ‘envisions the service to be used for movies, TV shows and other digital content sold through iTunes.’ "

Furthermore, the Insider said that the LA Times’ Company Town report said "People knowledgeable with the terms of Apple’s agreements with the music labels claim 70 percent of the revenue from iCloud’s music service will go to the labels and 12 percent will go to the publishers, leaving Apple with 18 percent."

The Insider then noted, "However, those numbers contradict a report from CNet earlier on Thursday that alleged Apple would keep 30 percent of revenue and share 58 percent with the labels and 12 percent with publishers. That report also cited sources claiming Apple’s streaming music service won’t be available on Monday ‘but will be offered soon,’ though it will reportedly store only music purchased from the iTunes."

2 Comments

  1. Let me see if I understand how this works. You buy music and movies from itunes, download them onto your devices, then you upload them back to icloud so you can listen or watch them on your devices. And you get to pay $25 bucks a year and put up with advertisements too. Sounds like a great deal! For Apple, that is.

  2. The Apple fans will be all over this telling all their friends how great it is!

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