Google will offer a new music streaming subscription service that will be called YouTube Music Key as a subscription-based, ad free service.
The new service will be cost $9.99 a month and will let users save songs and videos for offline listening, with the option of using an audio-only interface that can be used while multitasking, according to Android Police. The search giant will also upgrade its already available Google Play All Access service and rename it Google Play Music Key.
The service is likely to compete with Pandora and Spotify, although Google's service will have videos.
It was rumored last year that Google would launch its own music streaming service and reports suggest it took this long because the company had to make deals with music labels for the rights to play their songs.
YouTube is already the largest music service with over one billion unique monthly users and so far has generated revenue via advertising, but will now increase revenue through subscriptions.
Google hasn't announced a launch date for YouTube Music Key.