Lala iPhone App Changes Music Purchasing Forever

Would you buy a song if you could stream it an unlimited number of times from your iPhone or a web browser? Maybe not. What if the cost was only 10 cents? Not only does this free up your disk space, it's light on your wallet.

Lulu is counting on these two things to make them lots of money. They currently have 8.5 million songs in their library. Instead of having a music collection of files, everything you paid to play resides on remote servers until you demand a listen.

Apple has yet to approve the application. Lulu promises to match the songs you've already purchased in your iTunes library as well. Essentially, this would allow you stream songs you have in your iTunes library from their servers.

Lala plays the song you're interested in once, then you have the choice to purchase unlimited streaming of that song. The company claims that users purchase 20 percent of the songs they listen to using the service.

Lala is also a partner in Google's new Discover Music Search. The search results will stream music clips from sources including Lala, MySpace, imeem, Rhapsody and Pandora.