Apple’s Pandora like music streaming service, iTunes Radio, is reportedly going to be launched next month. The company will apparently be serving audio and video ads to free users of the service.

Apple iTunes Radio features 3 iTunes Radio with audio and video ads to launch next month

For well over a year it was rumored that Apple was developing a music streaming service called iRadio. The moniker didn’t materialize, but the service did. Apple finally showed off iTunes Radio at the Worldwide Developers Conference back in June earlier this year. Apple said that it would launch iTunes Radio this fall, but it is yet to provide a specific release date.

In a new report published today, AdAge claims that Apple’s new music streaming service will be launched next month. This doesn’t come as a surprise. Apple is already expected to launch the new iPhones as well as iOS 7 next month, it would obviously launch iTunes Radio in the same time frame. What’s interesting to note in this report is the possibility that Apple may serve advertisements. The report claims that companies such as McDonald’s, Nissan, Pepsi and Procter & Gamble have signed up to become launch advertisers on iTunes Radio.

The way these advertisements will reportedly work is that Apple will serve an audio ad after every 15 minutes. It would serve a video ad every hour. Video ads will be served when there’s a higher possibility of a user looking at their device, like when they’re toggling the controls or searching for a song. These ads will only be shown to the free users. Those who have a $25 per year iTunes Match subscription will enjoy an ad-free iTunes Radio experience.

Source: [AdAge]