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Apple buys music streamer Lala, but what's it getting?


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Last week's rumors have become this weekend's facts, as various sources are confirming a possible deal we discussed on Friday: Apple has purchased the music streaming service Lala. Right now, Apple's iTunes dominates the US music download sales, and does very well in many overseas markets, but the company has so far refused to experiment with any delivery model other than downloads. That will almost inevitably change, but the purchase of Lala isn't necessarily a sign that "inevitably" means "soon."

The case for this meaning that Apple is ready to start streaming was made by an unnamed source in a Reuters report, who told the news service that, "Apple recognizes that the model is going to evolve into a streaming one and this could probably propel iTunes to the next level." As our original report noted, Apple has also been rumored to be testing a streaming service for video content; adding music to the menu seems like an obvious choice.

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