Spotify Eyeing States

A popular European digital music service is inching toward the U.S. market with reports of a new deal with Universal Music Group.

Spotify AB reportedly signed a distribution agreement with Universal June 9, following previous deals with labels including EMI and Sony Music Entertainment.

The company has also been in talks with Warner Music Group, sources close to the matter told the Wall Street Journal.

Spotify executives have apparently been aiming to launch the service, which grants users advertising-supported access to a library of free music, in the States in early July. The company also offers subscription packages for users who want the music minus the ads.

A spokesman for the company previously told the WSJ Spotify had reached 1 million paying subscribers in Europe in March, out of a total 10 million registered users.