Apple is said to be in advanced talks with major record labels about introducing a new online radio streaming service.

It’s thought a deal could be struck by mid-November, with the service launching early next year. 

According to Bloomberg, the service would be ad-supported and would work in a similar way to US radio streaming service Pandora

Pandora enables its users to create their own radio stations based on tracks and musical genres they listen to. However, there are a number of restrictions based around Pandora, limitations Apple is keen to exploit.

Bloomberg’s report claims Apple is pushing for early access to new releases for its online radio service as well as the ability to skip and play tracks multiple times - both of which Pandora users are unable to do.

Apple is said to be considering the move following a decline in the amount of music being downloaded online. However, it’s thought Apple’s radio service would still offer listeners the option of purchasing the music through their iTunes account.

There’s no official word from Apple on the potential deal. However, somewhat tellingly, Pandora’s shares dropped by 12 per cent after Bloomberg initially reported on Apple’s potential move into online radio streaming.