Apple teams up with audio streaming platform TuneIn for Apple radio stations: report

[Apple Music Launch Party Carpool Karaoke: The Series With James Corden]
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Apple (NASDAQ:AAPL [https://seekingalpha.com/symbol/AAPL]) will distribute its curated radio stations on a global network of home speakers and connected cars, aiming to boost the reach of its music service, the _Wall Street Journal_ reported.

The agreement with digital radio platform TuneIn is the first time Apple Music's six radio stations will be available outside the company's app, the report added [https://www.wsj.com/business/media/apple-makes-music-push-in-radio-after-losing-ground-to-spotify-5931c467].

Starting Wednesday, the Apple stations will be available to TuneIn's 75 million monthly active users.

Apple did not immediately respond to a request for comment from Seeking Alpha.

The U.S. tech giant wants to bring some of those users into its own ecosystem. Several of the company's music subscribers sign up via free trials after they buy a new device. The intention is to convert Apple Music's radio listeners into paying subscribers to its music service, which has fallen behind Spotify (SPOT [https://seekingalpha.com/symbol/SPOT]) in recent years, the report noted.

The iPhone maker's market share of digital music subscribers in the U.S. declined to 25% at the end of last year from 30% in 2020, as per MIDiA Research, while Spotify's share jumped to 37% from 31% over that period.

Apple's share has also declined globally to 12% from 16% since 2020, MIDiA estimates.

Spotify and others offer users ad-supported options, and consumers can also convert to paid, ad-free plans.

Apple Music has no ad-supported option. In addition to signing up customers via free trials, it tries to woo people in with its radio offerings, where song selection is curated by humans as it has always been with traditional radio, the report noted.

Meanwhile, Spotify emphasizes algorithmic music curation. Apple introduced its first radio station in 2015 and now has six total after adding three more in December, the report added.

Apple reached out to TuneIn about the collaboration around the end of last year, as per TuneIn’s Chief Executive Richard Stern. Stern said he was excited to bring the new radio offering to his platform. The stations have no commercials and offer a good listener experience, he added. TuneIn’s network of connected devices helps terrestrial radio operators reach beyond their local markets, according to the report.

A link inside the TuneIn app and on its website will redirect users back to Apple Music, where Apple can convert them to paying subscribers, the report added.

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