Microsoft is getting ready to launch its own music streaming service which could rival the ever growing popularity of ‘Spotify‘. The service will allow users to stream music for free and download to own options - this is not to be confused with the launch of Last.fm coming to Xbox360 consoles later this year, but Microsoft has hinted that its own service could expand to consoles.

Peter Bale, executive producer of MSN, Microsoft’s news and entertainment portal, told The Telegraph exclusively:

“Music is an important area for Microsoft. We are looking at launching a music streaming service imminently.

It will be a similar principle to Spotify but we are still examining how the business model will work.”

Spotify users can stream music for free in exchange for listening to around a minute of advertising every half hour but for £9.99 a month, the ads will be turned off.

It is thought Microsoft’s offering will be ad-supported too as well as having a paid-for premium service. Mr Bale added: “We are looking at how other similar businesses have structured their business models and trying to figure out what will work best for both consumer and Mircosoft.”

Upon launch of the Microsoft owned music streaming service, it is expected to be mainly promoted through MSN and other parts of the Microsoft network. Mr Bale hinted that it could be tied in with the Xbox360 console at a later date and that it would also be used in promoting the appeal of Microsoft’s portable Zune Player.

The service is expected to launch at the end of July.

Source: The Telegraph