When you’ve got a good rhythm, you crank up the music; when you’ve got a business in a bad rhythm, it’s time to get a new one.

Beats Music is dancing to a new rhythm, providing what many iOS users will celebrate: an in-app subscription to the service. Now, you can have unlimited access to Beats Music for $10 a month.

To pull this off, however, Beats Music will have to give up $3 on every monthly subscription to Apple, seeing that the company takes 30% of each in-app purchase. Apple strikes a hard bargain, but iOS has a massive user base that often forces the hands of companies who’d rather not deal with Apple’s price strategy. Beats Music CEO Ian Rogers said the company made this decision because of the number of iOS users who would rather subscribe via their mobile phone rather than subscribe in-store: “If you don’t care if people subscribe or not, and you’ve got a free product, maybe then you wouldn’t do it.” In short, Beats’ decision is “what you do when you want subscribers.”

Some say that Beats has caved in to Apple’s price strategy because it’s struggling to find new customers for its customer base, despite Rogers’ statement that “the conversion rate on the AT&T plan is off the charts” and Bloomberg News’ report last month that showed a 70% conversion rate with AT&T customers. It’s clear that when you’re a company struggling to hold on to profits because of an inconvenient strategy, changing it’s to do with the profits more than anything else. No business can afford to bleed cash.


If you’re an iOS user now interested in Beats Music, you’ll be pleased to know that the company just released version 1.0.7 that allows you to subscribe to Beats Music via your iTunes account. There is now a Find Your Friends option on Beats Music that’ll let you follow your Facebook friends, improvements in Facebook and Twitter account management, an offline mode, new music tracks in The Sentence, and new offers from your favorite artists (Artist Offers).

Beats Music, in addition to its $9.99 monthly individual access, offers a $14.99 monthly access subscription for a family of 5 on 10 devices with the first 90 days free (3-month trial). Beats signed its Beats Music deal with AT&T earlier this year (Jan. 24), and looks to compete head-on with Spotify, Pandora, and even iTunes Radio for consumer hearts and wallets. Spotify has a free ad-supported service, but has increased its monthly subscription fee to $15 in order to account for Apple’s slice of the apple pie.

Has Beats Music’s in-app subscription lured you to the company’s services, or are you already in love with another internet music service? If so, which one(s)? Do your thing in the comments.

Beats Music is available in the App Store for free.


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