Universal and Sony Reportedly Sign Google Cloud Music Deals

From CNET:

Google licenses cloud rights from two labels as it tries to offer similar scan-and-match feature as Apple and Amazon. But some at the labels aren’t buying into Google’s plan to eliminate $25 annual fee.

As it builds out the entertainment offering for the Android operating system, Google is getting closer to obtaining the rights to offer a scan-and-match feature similar to those offered by Apple and Amazon, sources tell CNET.

Google already offers a cloud music service, but it’s unlicensed by the major music-recording companies, and thus legally prevented from offering all the functionality now offered by iTunes and Amazon Cloud Player.

But that could change soon. Multiple music industry sources say that Google has signed licensing deals for its cloud music service with Universal Music Group and Sony Music Entertainment. EMI Music and Warner Music Group are still in negotiations with managers at Google Play, the service that oversees Android’s entertainment offerings, including music. A Google spokeswoman declined to comment.

Insiders say one of the sticking points in the talks is that some at the two unsigned labels don’t see a viable business model with Google’s plan for scan and match.

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