Even before Apple launches iCloud later this week, the Cupertino-based company has apparently signed deals with major records labels for the new music service.
Warner Music Group, EMI Music Group, Universal Music Group and Sony Music Entertainment are among the labels that have inked deals, according to bloggers.
Apple boss Steve Jobs is scheduled to unveil iCloud among other offerings at the annual Apple Worldwide Developers Conference in San Francisco on Monday.
Bloggers say Apple will initially offer iCloud free to those who buy music from its iTunes digital download centre. Later, it will charge a $25 annual fee.
Apple will reportedly share 70% of revenue from iCloud music service with record labels, and 12% with music publishers holding the songwriting rights.
Apple will get to keep the remaining 18%, according to a blogger with the LA Times.
Much is not known about iCloud except that it will allow users to upload music to Apple computers which they can then play from a Web browser or Internet-linked Apple devices.