Apple changes course on Radio payments during trial


Peter Kafka:

Cue says Apple will pay rights holders for the entire three months of the trial period. It can't be at the same rate that Apple is paying them after free users become subscribers, since Apple is paying out a percentage of revenue once subscribers start paying. Instead, he says, Apple will pay rights holders on a per-stream basis, the amount of which he won't disclose.

If Apple feels strongly about doing an extended trail, they certainly have the bankroll pay for it. It will be interesting if using that bankroll from other products will be challenged as anti-competitive by other streaming services.

Anyway, this should help Apple refocus PR attention back on the product. It will be interesting if this change will encourage Swift and others to not withhold content on Apple Radio.