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Spotify Said Near Agreement With Warner Music for U.S. Service

Spotify Ltd. reached agreements with three major record labels and is close to a deal with the fourth, Warner Music Group, to start a U.S. version of its online music service, people with knowledge of the talks said.

Spotify, based in London, may sign an agreement with Warner Music as soon as this week, said two people, who asked for anonymity because the talks aren’t public.

A U.S. service could start next month, people said. Closely held Spotify reached a deal with Vivendi SA’s Universal Music Group last week, said the people. Sony Corp. and Citigroup Inc.’s EMI, signed on earlier, according to the people, who weren’t authorized to talk publicly.

Spotify’s service offers some free, ad-supported music to users through their PCs. Customers who subscribe can get more content and play songs on mobile devices.

The Wall Street Journal today reported Spotify was in advanced talks with Warner Music. The agreement with Universal Music was earlier reported on June 10 by the website

Warner Music, which agreed in May to be acquired by billionaire Len Blavatnik, gained 2 cents to $8.19 at 4:15 p.m. in New York Stock Exchange composite trading. The stock has climbed 45 percent this year.

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