It is no surprise that technology has launched the distribution of music into an entirely new sphere of creativity. Since the rise of peer-to-peer file sharing software in the 90s (Napster), the invention of iTunes and its associated hardware devices (iPods and iPhones), and the creation of music streaming websites (Pandora, Last.fm), the potential of new media in the music industry is following a path that will ultimately lead to more opportunities to market and sell music. Although a lot of major record labels and Performance Rights Societies are butting heads with these new outlets, it can’t be denied that, whether it’s resisted or embraced, the advent of digital music is spearheading a new business model for the music industry.

We are on the verge of taking yet another step forward; “Cloud-based music services,” as they are commonly called, are starting to surface. Here’s the gist of how they work:

• The websites (such as mSpot.com) use a dedicated server to store music where users can upload their music from their hard drive.
• Once uploaded, the music can be accessed/downloaded/streamed by the user from virtually anywhere by almost anything with internet access (personal computers, iPhones, and more recently Android mobile devices).
• Users subscribe to a service usually for free, but they are given the opportunity to upgrade to the amount of space they would like for a few more dollars.

One advantage to these services is that you can basically keep your music on these servers and take it off your computer’s hard drive, leaving you with a few more GB of space (however, it’s probably smart to keep a back-up of your music files).

Possibly the most exciting aspect of these services is the licensing opportunities involved. Good music publishers should always look for new ways to get their repertoire into the market, and an opportunity such as this has the potential to get a publisher’s entire catalog more revenue.

There’s evidence that Google, as well as iTunes, may be starting their own cloud services in the near future. Google recently hired a veteran music industry lawyer to aid in music licensing deals, who recently told Billboard her opinions on cloud-based subscription services. I smell big opportunities for both consumers and copyright owners.

List of Cloud-based music services:

mSpot

• Upload music for free using mSpot’s Uploader software and access it from any computer or smartphone. Storage plans range from 2 GB (free) to 100 GB ($13.99/month).

Spotify (UK based, soon to be in the US)

• Import music from your music library, stream music directly from the software, and share playlists within the Spotify community. Users can upgrade to a “Premium” account, which offers higher bitrate streams, offline access to music and use of Spotify on mobile devices.

Thumbplay

• Thumbplay’s subscription service costs $9.99/month for access to 10 credits that can be redeemed for content in its online store. Consumers can sync their music — as well as images and video — to the site.

Rdio (UK based, soon to be in the US)

• Instant access to more than 5 million tracks through a web browser, downloadable software or mobile app. Available for free for three days and then for fees of $5 (web only) or $10 (web plus mobile). Lets you see what people are listening to, what they like, and who they know through real-time feeds with integration to Facebook and Twitter.

MOG

• For $9.99 MOG users can download or stream unlimited tunes from the company’s catalog to their mobile phones or PCs. Users can store music from the site into their cache and stream it from their phones and PCs directly from the web browser. Also offers a unique radio function where users listen to music and are given the option to store songs into their cache from the radio.

MP3tunes

• Users create their own music locker and store their digital music online, which can then be created into playlists and streamed from PCs or smartphones. Users get 2GB of storage for free, or can go for ‘paid for’ plans that enable them to store 50-200GB of music depending on the subscription level.

AudioBox.fm

• 1 GB storage for free with upgrades as low as $3.99/month for 11GB. Integrates with Last.fm, Twitter, and YouTube. Can be accessed from PCs or mobile devices without installing additional software.

Maestro.fm

• Free social music network that gives you access to your own digital music via remote storage. Rather than uploading songs in one go, Maestro.fm’s system stores your music online as you listen to it using PCs and Maestro enabled smartphones.

Deezer

• Free music service that offers an unlimited amount of storage for your MP3 collection; only you can’t upload MP3 files that exceed 10Mb. Offers an on-demand streaming audio services as well as creating and sharing playlists with the Deezer community and making Deezer radio stations that other members can tune in to.

MusicPlayer.fm

• Gives users online storage to stream their music collection wherever they may be for free. They can also use the service to easily search for a track to play and organize their collection using playlists. There’s also the option to create their very own digital radio station based on their favorite genre.

ZumoDrive

• Upload up to 1 GB of music for free and access it from any device. Pricing ranges from 10 GB for $2.99/month to 500GB for $79.99/month.