Why Google Thinks Two Music Subscription Services Are Better Than None

From AllThingsD:

Alrighty. Time to start sorting out what Google is up to with music. And why it thinks it may make sense to launch two different music subscription services.

Spoiler alert! No one outside of a handful of Googlers really knows.

But we can make some educated guesses:

As previously reported, Google’s Android unit wants to launch a subscription service.

This one’s a no-brainer. Music is a key part of mobile, and Andy Rubin doesn’t want to cede that to outsiders like Spotify and Pandora. (Android’s effort to break into music via a download store and a scan-and-match locker have had little take-up.) And this one is relatively easy for music owners to sign off on, since they’ve already bought into the Spotify model — free ad-supported music that pushes users into a $10-a-month mobile offer.

As previously reported, Google’s YouTube unit wants to do … something with a subscription service.
At a minimum, YouTube is trying to collect the rights to sell music, in both audio and video form, via subscriptions. But it hasn’t told music owners what it actually wants to do with those rights, and it hasn’t shown outsiders a prototype of what it’s working on.

This one also has some logic to it, but it’s not quite as clear-cut.

Continue reading the rest of the story on AllThingsD