The search giant is in talks with music labels on plans for a download store and a digital song locker that would let its mobile phone users play songs wherever they are. Google (NMS:GOOG) hopes to launch the service by Christmas, according to sources.

Google is trying to compete with Apple, which dominates via its iTunes Music Stores, accounting for 70% of all U.S. digital music sales. It rose 1.5% to 470.30.

BDST: 1745 HRS, 4 September 2010