Pandora shares took a dive in Friday trading amid speculation that Apple may be close to a deal with major music labels to launch a streaming service.
The prediction that Apple is planning to launch its own online radio service has been a persistent one, cropping up several times over the past few years. The rumor mill kicked into high gear again Thursday evening after CNET’s Paul Sloan reported that Apple is in discussions with Warner Music and Universal Music Group to get the rights to feature their catalogs on a new service.
Apple spokesman Tom Neumayr declined to comment on speculation.
Pandora shares were down significantly in Friday trading — something that has happened in the past when rumors about Apple’s music service have surfaced. As of 3 p.m., the company’s shares had fallen over 7 percent to $12.82 from the day’s open of $13.52. Apple shares were down two percent to $420.75.