Facebook preparing to launch its own music streaming service: report

Facebook is preparing to launch a music streaming service, according to record industry publication Music Ally.

The company will start its foray into the crowded space by rolling out a system that will allow it to monetize user uploaded music videos. Taking inspiration from YouTube and its much-derided Content ID framework, this system will allow rights holders to identify videos that are uploaded to the social network. Once a video is identified, music creators will have the option of either taking down the video or making a claim on it.

According to Music Ally, this service will launch in the next couple of months. All that’s holding it up, says the publication, is the fact that music labels want to see that the Content ID-like system is as reliable as possible. Facebook is apparently not developing it in house, but is instead licensing it from a third-party.

Music Ally goes on to quote several unnamed sources who have seen the service in action. One of the more interesting quotes comes from a sources that says, “We have all been really utilising it in internal testing. It is way, way ahead of YouTube.”

Details on the all-you-can-eat music service that will follow are currently scare. For the time being, Facebook is denying the report, saying it has no intention of entering the space. “We have no plans to go into music streaming,” a Facebook spokesperson told The Verge.

As for why Facebook would want to enter into an already crowded market, the answer is simple: engagement. The company likely sees this as an easy way to get users to spend even more time on its website. It’s been estimated that the average North American spends about 40 minutes every day on Facebook. With music playing in the background, that number could become even higher.

[source]Music Ally[/source]