YouTube to launch a music streaming service in March...again

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Sure, Google parent-company Alphabet has tried before. With Google seemingly moving forward with its plan to launch a new music streaming service, it could hit two birds with one stone. However, the race never seems to stop as new contenders are pacing up to be part of the industry.

YouTube has finally made up their mind and they're going to compete with other music services like Spotify and Apple.

The massive cash transaction will see Spotify, today present in more than 60 markets, potentially gain a foothold on the Chinese market.

"Google Play Music staff were folded into the YouTube team earlier this year", says Music Business Worldwide. This service would soon launch in March.

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It is interesting to note how YouTube will market its service. "We are delighted to facilitate this strategic collaboration between the two largest digital music platforms in the world", Tencent President Martin Lau said in the statement. Its music and karaoke subsidiary, TME, is China's biggest provider of music streaming in China with some 600 million active users across its handful of streaming platforms.

"The new service could help appease record-industry executives who have pushed for more revenue from YouTube". YouTube is also in negotiations with Merlin, a consortium of independent music labels according to the sources. The service will combine both traditional music streaming and music videos, according to the report.

Besides having on-demand listening akin to Spotify's offering, Remix will also incorporate video clips and other elements from YouTube. Spotify's approach to China echoes that of other US technology companies, including ride-hailing companies and cloud computing services, which have ultimately had to rely on local partnerships to operate.

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