YouTube Bets on Music as "Trojan Horse" to Boost Subscription Business

YouTube Bets on Music as

Once the app is installed and started, you might be able to sign up for the service, but you also might just see that "The new YouTube Music is coming soon" and get an option to join a list to get more info as it rolls out.

The tweet follows after Google announced a revamp for its YouTube Music service.

However that was not the case, or at least maybe not yet. Any user who has the subscription for Google Play Music gets to use YouTube Music as a part of the subscription package.

YouTube Music Premium is priced at $9.99 per month in the United States, which is the same price as Spotify, Apple Music, and Google Play Music.

Seemingly out of nowhere, Google unveiled major changes to its YouTube products last week. This was kind of what Apple did when they acquired Beats Music, where the service continued to run for a while which they later transitioned to Apple Music. If you're looking for a new workout mix, or want to find the best '90s playlists out there, you'd better hope YouTube's algorithms put them on your home page.

That's not a complete solution, however, so letting users upload music they may have already paid for is likely to come as a relief for current Google Play Music subscribers. Well, they'll all show up as subscriptions over on the video-focused YouTube as well.

In the coming weeks, Google plans a wider worldwide launch for YouTube Music.

YouTube also say that their YouTube Music search will help make discovering songs easier than ever by helping you to discover music based on lyrics or even a description. While those companies are pumping several billion dollars each into premium programming and rich talent deals, sources say the budget for originals has not expanded meaningfully from the high nine-figures it spent a year ago despite the recent success of more high-profile projects like Cobra Kai. YouTube only needs to convert a small percentage of the 1.8 billion users now using its free, ad-supported platform into paying subscribers to become a true subscription threat, one that Morgan Stanley - which values YouTube at $160 billion (more than Disney) - estimates could have 25 million subs by 2022.

Google also said you will eventually be able to purchase songs in YouTube Music, though the songs would presumably be from Google Play. Play Music subscribers will also have their song collections, playlists and preferences migrated to YouTube. Yet another contender in the music streaming industry has stepped up to the plate. Furthermore, it lets you watch YouTube videos without ads, play videos in the background on mobile so you can still hear what's happening, and download videos for offline playback.

As previously stated, the plan is for YouTube Music to replace Google Play Music sometime in 2019.