If the CNET report is true, Apple only needs to close deals with Sony Music Entertainment and Universal Music Group now before it secures unprecedented, legitimate access to music from all "Big Four" labels.
In March, Amazon launched its cloud music locker without such rights and faced threats of legal action; it is now reportedly in talks with the labels to secure licensing agreements. Google launched Google Music at its Google I/O event a couple weeks ago.
In April, CNET reported that Apple had inked a deal with Warner Music and "at least one of the remaining three" major music labels. Apple has not officially acknowledged the development of a cloud-based music storage service, but speculation is rife after reports "confirming" the development with unnamed sources. Furthermore, the company recently built a massive data center in North Carolina, reportedly meant to host a video streaming service.