At least two major labels say the companies are a long way off from signing deals with Apple that would provide unlimited access to the iTunes library to iPod and iPhone users who pay a premium fee.
The Financial Times reported Wednesday that the majors are looking at a plan similar to Nokia's “comes with music” deal with Universal Music that was formalized in December.
One person familiar with negotiations said the economics of the Nokia deal far outweigh anything Apple has offered and the labels' discussions with Apple are more keyed to extending existing contracts.
Apple broached the idea about a year ago with the labels, none of which have even given a thumbs up to offering subscription services, the basis of the Apple plan.