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Report: Apple and music industry at work on album 'Cocktail'

The four major recording labels are working on launching a music offering that aims to add value to digital albums sold on Apple's online iTunes Store.

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The crowd watches British alternative rock band Placebo perform at the 34th Paleo music festival in Switzerland on July 21.

Valentin Flauraud/Reuters

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LOS ANGELES — Apple Inc. and the four major recording labels are working on launching a music offering code-named "Cocktail" that aims to add value to digital albums sold on the online iTunes Store.

That's according to two people with knowledge of the discussions. They spoke on condition of anonymity because details of the offering had not been finalized, and they were not authorized to speak publicly.

The new package will include liner notes, artwork and potentially cell phone ringtones and music videos in a unified software package that the labels hope will boost sales of albums, instead of just single tracks.

Talk of the enhanced digital album offering was first reported by the Financial Times.

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