Taylor Swift Scuffle Aside, Apple’s New Music Service Is Expected To Thrive

When the star of pop music Swift Taylor publicly criticized the royalty payment plans Apple recently, government regulators who had been investigating the company for several other reasons might have thought: Get in line.

In recent years, Apple has become the most valuable company in the world and one of the most scrutinized. Authorities in Europe and the United States are studying offers Apple with record for possible antitrust violations.

 

But as Apple prepares to begin its long-awaited music subscription service streaming Tuesday, few marketing experts expect the fight with Ms. Swift leaving no scar. Instead, they think proved to be very good publicity.

"I do not think the episode has damaged their brand at all," said Jordan Cohen, marketing director of fluid, a consumer marketing firm. "More than anything, served to shine a big spotlight on its new offer with a week to go until the launch."

Apple's new service Music has the potential over the next two years to produce 100 million subscribers, according to Jan Dawson, an independent technology analyst for Research jackdaw. That would more than double the 41 million subscriptions combined payment for all services current music streaming last year, the International Federation of the Phonographic Industry, a trade group in London, estimates.

Skating last controversy has become an important skill for Apple in recent years, and the rapid response of the company to the public letter from Mrs. Swift provides a window into how the Silicon Valley giant responds to criticism.

While iPhones and Macs are flying off the shelves, analysts and marketing experts say, Apple has little reason to listen to his critics - except when they are the rare few like Ms. Swift that can have a direct impact on sales.

"What she says is gold, and at this point has been achieved both brand power is difficult, even for companies like Apple to pay no attention," said Erik founder Indi loop, a service of musical creation Ashdown.

In their open letter, entitled "For Apple, Love Taylor," Ms. Swift said she was holding her latest album Apple music because artists like her were unhappy with the company's decision to omit the payment of royalties to musicians during the three-month trial of the new music service.

Within a day, Apple's head of online services, Eddy Cue said in his Twitter account that the musicians would be paid during the three-month trial. "I heard @ taylorswift13 and independent artists. Love, Apple," he wrote.

Government regulators would be upset to realize that a musician of 25 years of age, had better luck curb Apple's behavior than they have had.

Apple, based in Cupertino, Calif., 2013 keep fighting the decision of a federal judge who conspired with book publishers to raise prices of electronic books. Apple continues to appeal the decision, and has also been resistant to cooperation with a lawyer the court appointed to supervise their operations to ensure compliance with antitrust laws.

More recently, in Europe and the United States antitrust regulators opened investigations into Apple music. They are trying to find out if Apple pressed the record - or if the labels conspired with Apple and others - to withdraw support for popular services "freemium" offered by companies like Specify for music subscriptions paid Apple.

So far, Apple Music antitrust investigations have produced no evidence of collusion. This month, Universal Music Group, said in a letter to the attorneys general of New York and Connecticut State that had no agreement with Apple that would prevent the availability of free or advertising.

But if consumers are weighing in their portfolios, which have shown complete indifference to regulatory matters. In the second fiscal quarter, iPhone sales increased 40 percent year on year, and sales of Mac computers increased 10 percent year over year. The company has accumulated more than $ 193,500 million in cash.

"When you think about Apple, you think very easy to use and a great experience," said Greg Portell, a partner at AT Kearney, a global management consulting firm. "If you have problems with product quality, that's when things start to stumble."

However, Apple has, in fact, was flawed product in recent years. The iPhone received a blow in 2010 when a design flaw in the iPhone 4 - called the press Antennagate tech - caused the mobile phone reception is lost for some users when the phone was clutching.

The long-term impact? No harm done yet. In fact, iPhone sales continued to grow.

Other imperfections of Apple products recently bubbled. Releases its latest software systems for mobile devices, iOS 8 and Mac computers, OS X, had problems. Errors caused iPhones lose a cellular signal and provide their fingerprint sensors unusable, raising concerns that the quality control of the company was slipping.

"These issues were probably the first time that I heard often from family and friends and people who are not in this industry - that were recognized, why is this failing a lot," said Ben Bajarin, analyst with Creative Strategies.

Apple is trying to solve the problems. A beta or early version of its next mobile operating system, iOS 9 will be released in early July for curious consumers to try before its official launch this fall. Outsourcing testing system will allow Apple consumers to do a better job of ending the insects before the software is widely used.

In technology, self-inflicted wounds have historically been worse than government decisions. In 2001, the Justice Department settled its antitrust case against Microsoft - and the company keeps right on growing. It was not until that Microsoft is seriously wrong transition to mobile computing devices that growth slowed, Bajarin said.

That does not mean that Apple always ignore his critics. The company has publicly acknowledged he should do better with diversity in the workplace. Furthermore, in response to allegations of violations of labor rights in factories abroad, by other companies, producing iPhones and iPads, Apple has deepened its involvement in factory audits, including the creation of training programs to teach providers how to do a better job tracking hours of workers.

Public reaction to Apple Music will be a test. One of the challenges in the release of Apple Music, music executives said, will retain the basic concept of the original iTunes store - each song costs 99 cents to download - which has helped to make more music store largest in the world and a vital source of revenue for the industry.

Apple Music, by contrast, combines a number of features that highlight the complexity of online music has become. It has a subscription streaming service like Spotify; platform media that has been compared to SoundCloud, which allows people to upload and stream any audio freely; and the characteristics of radio services compete with Internet and satellite as Pandora and Sirius XM.

"We currently do not have such a high value brand that one or two setbacks will not hurt them," said Mr. Portell of AT Kearney. "If they have more setbacks, that part of the brand begins to degrade."