NEW YORK (TheStreet) -- Apple (AAPL) shares are down 0.97% to $126.55 in trading on Tuesday, one day after the conclusion of its highly anticipated annual Worldwide Developers Conference.
The biggest news from the conference was the unveiling of Apple's new Apple Music streaming service.
RealMoney Pro's Ed Ponsi sees Apple Music as a game changer and a serious challenger to Internet music streaming leader Pandora Media's (P) hold on the market.
Insight from TheStreet's Research Team:
The Apple Music concept does make sense. Plenty of consumers already listen to Pandora, Spotify, and Sirius XM (SIRI) on iPhones and iPads. Why wouldn't those same customers listen to the same music if it originated from Apple?
Jim Cramer and Jack Mohr, co-managers of Jim Cramer's charitable trust, Action Alerts PLUS, seem to agree. In a note on Apple's Worldwide Developer Conference published today, they comment on the new streaming service, saying "Apple currently has over 800 million iTunes accounts it can leverage and we believe Jimmy Iovine further expands Apple's credibility with musicians." (Apple is a holding in the Action Alerts PLUS portfolio.)
However, while Apple Music seems like a slam-dunk, it isn't. It comes down to execution, and that's where Apple has failed in music. How can you go wrong giving away a free U2 album? By failing to understand that to many of us, music is a highly personal, emotionally charged topic. Music fans don't like to be told what to listen to. I'm still not convinced that Apple gets this point; its "global radio station" concept sounds like the latest misstep along these lines.