Tentatively called Remix, the platform has already secured rights from Warner Music Group.
Bloomberg reports that the Google-owned company is aiming for a start date of March 2018, having secured an agreement with Warner Music Group. Talks with Sony and Universal, as well as Merlin—which represents hundreds of independent record labels—are apparently underway.
Remix would be the latest attempt by YouTube to compete with streaming giants Spotify and Apple Music, following YouTube Music Key and YouTube Red. It also comes after sustained criticism from the music industry that YouTube does not compensate artists enough for content hosted on the platform. The new service would incorporate certain YouTube elements, including video, in a Spotify-like format.