YouTube will launch a new music streaming service in early 2018. The paid service will be launched in March. 

According to Bloomberg, YouTube has already signed a contract with Warner Music Group and is in a talk with Sony Music Entertainment, Merlin, and Universal Music Group, and some other group of independent labels.

The service will allow YouTube to compete better with Apple Music and Spotify. Moreover, it will provide more revenue to music labels that have been pushing for more money from the video site.

People are silhouetted as they pose with mobile devices in front of a screen projected with a Youtube logo, in this picture illustration taken in Zenica October 29, 2014.REUTERS/Dado Ruvic

The report suggests that YouTube is calling this service as "Remix", and it will also include an on-demand streaming feature with YouTube elements like video clips just like Spotify. YouTube has already been contacting artists for help promoting the service.

"Music is very important to Google and we're evaluating how to bring together our music offerings to deliver the best possible product for our users, music partners and artists. Nothing will change for users today and we'll provide plenty of notice before any changes are made," Google said in a statement provided to The Verge.

Remix music service will be the third attempt at releasing rivals for Apple Music and Spotify. In 2011 the company introduced Google Play Music and its subscription-based music streaming service. Again in 2014, they announced YouTube Music Key which allows you to stream ad-free music.

According to Bloomberg, YouTube will need to figure out several issues to meet its March 2018 launch date. YouTube has been stuck in negotiations with Universal and Sony for more than a year.