APPLE EYES STAKE IN iHEART (REPORT)

Is Apple getting into the radio business? That possibility was posed in a Financial Times story asserting that the tech colossus is exploring a tie-up with iHeartMedia, as the largest U.S. radio group attempts to claw itself out of bankruptcy.

Apple is among the companies that have talked with iHeartMedia about a deal, people familiar with the discussions told FT. iHeart is hoping Apple will take an equity stake worth tens of millions of dollars, said one source briefed on the talks. Another source suggested that the tie-up could result in a multimillion-dollar marketing partnership rather than a direct investment.

Intriguingly, such a partnership could result in Apple Music’s Beats 1 becoming available on broadcast radio. Extra distribution would give Beats 1 and Apple Music greater awareness among older audiences, who tend to be later adopters of streaming services. A deal would also put the Zane Lowe-led station into more cars and homes.

Discussions between the two companies remain at a preliminary stage, and no deal has been agreed upon, according to the sources. Both Apple and iHeartMedia declined to comment.