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Boy Genius said it believes the cloud-based service is coming soon. The rumor of the cloud version of iTunes has been around for a while and was fueled after Apple bought the Lala streaming music service. With cloud computing, the software for iTunes would reside in centralized servers in data centers, rather than on a specific user computer.
The advantage is that Apple would be able to use the cloud to stream music to a user, regardless of which device the user happens to be using. As long as the connectivity is decent, Apple could stream the music to an iPhone, iPad, Mac, PC, or any other web-connected device.
For users, cloud-based software could liberate them from having their music collections tied to a single computer. Boy Genius also said that you will be able to wirelessly sync iTunes to mobile devices, presumably via Wi-Fi connections. That gets rid of the hassle of tying your iPod or iPhone to a computer every day. Rdio has already launched a cloud-based music service, as have others (Pandora, Spotify, Rhapsody), and Apple should do the same just to stay competitive. Fans have been asking for it for a long time.
We have sent a query to Apple for comment.
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