Google Working on Subscription-Based Streaming Music Service

Google is in negotiations with music publishers to develop a Spotify-esque subscription streaming music service for its Android operating system, reports The Wall Street Journal.

Currently, Google has a scan-and-match music service like iTunes Match, as well as an Android-focused music download store.

Google Inc.'s Android unit has been negotiating with music companies to start a paid subscription music-streaming service akin to Spotify AB, according to people familiar with the matter.

Separately, Google's YouTube video website is trying to obtain licenses from music labels to start a paid subscription service for music videos and potentially also for audio-only songs, these people said.

There have been rumors for nearly five years about Apple developing a subscription music service, though more recently reports have surfaced that Apple is aiming to release its service sometime in 2013.

Bloomberg reported in October that Apple was aiming for a first quarter launch, but record labels have suggested that negotiations were hung up over licensing fees.