LA Times: iCloud Initially Free, $25 Annual Fee Afterwards

Submitted by lalit on June 2, 2011 - 3:46pm.

LA Times is reporting that music labels and publishers are lining to signup for iCloud music service that Apple will launch next week. LA Times’ Alex Pham wrote:

Dubbed iCloud, the service initially will be offered for a free period to people who buy music from Apple's iTunes digital download store, allowing users to upload their music to Apple's computers where they can then play from a Web browser or Internet-connected Apple device.
The company plans to eventually charge a subscription fee, about $25 a year, for the service. Apple would also sell advertising around its iCloud service.
The agreements, finalized this week, call for Apple to share 30% of any revenue from iCloud's music service with record labels, as well as 12% with music publishers holding the songwriting rights. Apple is expected to keep the remaining 58%, said people knowledgeable with the terms.

It will be interesting to see if iCloud will be only music service or have other features also. Rumors are iCloud will bring other features like syncing, sharing and storing to iOS and Mac OS X devices.