Pandora, Spotify beating Apple’s Beats handsomely on App Store

Beats Music (Windows Phone, Android, iOS 001)

Pandora and Spotify rank as the number one and number two music streaming apps in terms of downloads, analytics firm AppAnnie reports – no big surprise. However, where things become interesting is that Apple’s Beats Music, which the company purchased for $3 billion in May, is placed ninth, below iHeartRadio, SoundCloud and Apple’s GarageBand.

You would think with Apple’s blessing Beats Music would outpace options like iHeartRadio and SoundCloud, but apparently the general public hasn’t caught on to the idea of the playlist-focused music streaming service. Furthermore, Beats Music doesn’t offer a free, ad-based model like its competitors, requiring a subscription and in turn hurting download numbers.

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The story isn’t entirely grim for Beats Music, however. AppAnnie found Beats Music sits as the third music streaming app, once again behind Pandora and Spotify. Beats Music showed improvement, climbing two spots on the chart. The study takes only in account for in-app purchases and not ad revenue.

Industry insiders are still trying to figure out Apple’s plan for Beats Music, as it’s obvious the current trajectory isn’t exactly mind-blowing. The New York Times reported Apple may absorb Beats into its iTunes product, allowing iPhone, iPad, and Mac users to more seamlessly stream music to their earbuds.

For now, could cutting the subscription cost of Beats Music help Apple’s case?

[AppAnnie via CNET]