Rumor: Microsoft to launch another music service?

Is Microsoft going to try and launch yet another online music service? That's the new rumor which got started over at News.com earlier today. The web site claims, via unnamed sources, that Microsoft is in negotiations with a number of the major music companies about this new service. The story adds that the target platforms are the Xbox 360 and an unnamed Windows Phone-based device.

While specifics about the new operation are still sketchy, the story claims that Microsoft would like to launch this new music service later in 2012. It would reportedly support both music downloads as well as streaming music. The Windows Phone device that would support the unnamed service could be made by Nokia or HTC, according to the story.

Of course, Microsoft already has its own music service with the Zune Music Pass, which can be used on Windows Phone 7-based devices as well as PCs and the Xbox 360. The subscription service offers access to millions of tunes for a $9.99 monthly fee. It's unclear what, if anything, would happen to Zune Music Pass or if this new service would simply be an upgrade to the existing Zune Music Pass.

Previous to Zune, Microsoft teamed up with MTV to launch the Urge downloadable music service. It launched in 2006 but was shut down by MTV just a year later.

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