Spotify and Tencent agree to swap stakes in their music businesses

Kelley Robertson
December 10, 2017

Then, to provide unique original video content and uninterrupted music on mobile devices, the Google-owned YouTube launched YouTube Red. Now, on the back of the success of Spotify and Apple, they are beginning to recover.

It's not yet clear how the Remix service would differ from Google's existing offerings.

The latest whispers come from Bloomberg sources that claim the new service - internally dubbed "Remix" - will launch in March, 2018.

Over the summer, the video platform reported that it had 1.5 million paid subscribers, and another million on a free, 30-day trial basis.

YouTube has apparently already struck a deal with Warner Music Group.

Many record labels believe this growth could have been even stronger had it now been for YouTube which does not compensate them enough, many claim. The platform is now "in talks" with Sony Music and Universal Music Group. The new product will offer both music and video streaming.

A few months ago, YouTube's global head of music, Lyor Cohen confirmed the add-free YouTube Red service and Google Play Music will be merged into a new subscription service. YouTube is also negotiating with a consortium of independent labels called Merlin, as well as reaching out to have artists help promote the service.

Bloomberg's sources said that YouTube has been attempting to negotiate new deals with Universal and Sony for more than a year.

Making things a little spicier is the fact that music channel Vevo's contract with YouTube reportedly requires re-negotiation early next year.

MailOnline has contacted YouTube for comment.

Two of the world's most popular online music streaming services are buying shares in one another.

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