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Apple appears to be removing many of the popular music downloading apps from the iOS App Store, including those that allowed users to obtain files from third-party file sharing sites. A search for the term "music download" in the App Store displays a message inviting users to try out iTunes Radio, while glancing through the first few results shows apps for streaming services such as Spotify and other music-based apps that lack downloading capabilities.
Previously, the same search would show results for a number of apps that could download music and audio files from websites such as Soundcloud and YouTube, with many appearing on the App Store's "Top Charts" section. The crackdown on music downloading apps may very well be related a revamp that Apple will launch alongside iOS 8. Apple has blocked German car maker Volkswagen from showcasing wireless CarPlay connectivity at CES in Las Vegas this year, according to a report from Car and Driver. Remember that you can download your licenses whenever you want in the Downloads section of your profile.
Apple has released iTunes 10.3 for Windows and Mac which is compatible with Apple’s iCloud featurs. Music that hasn’t been purchased from iTunes can also be converted into higher-quality iTunes Match.
The iTunes Store is the world’s most popular music store with a catalog of over 26 million songs and over 25 billion songs downloaded, and is available in 119 countries. Apple designs Macs, the best personal computers in the world, along with OS X, iLife, iWork and professional software.

This is some interesting data shared by Asymco that shows we are downloading apps much faster than we download music on iTunes.
More interesting is that Asymco foresees App Store downloads will pass iTunes downloads by the end of the year.
Some developers have also noted that Apple has asked them to remove audio downloading functionalities from their app, perhaps to prevent potential piracy. Among those changes to the App Store include an improved search algorithm, an "Explore" feature to improve discoverability, app bundles, and TestFlight beta testing for developers. The latest iTunes gives you new ways to get your music, apps, and books from one device to another — wirelessly and without syncing. Users will also be able to download any of their previous purchases for free, since all the download history is constantly synced as well. All of this happens automatically and wirelessly, and because it’s integrated into our apps you don’t even need to think about it—it all just works.
There’s also no word on international pricing for iTunes Match yet, although it should be similar to the US fee.
As a point of comparison, it took the App Store 2.2 years to be where iTunes was after 5 years. While you can’t get a song on iTunes for free, you can get thousands of applications for $0.

A report yesterday also highlighted Apple's crackdown on apps that incentivize ad watching and social sharing.
Competitors like Pandora and Spotify launched in both countries simultaneously so I don't know what the hold up is for Apple. Not so with an app that downloads rips an MP3 from YouTube, etc., for free and lets you do whatever you want with it. As the downloader of the 25 billionth song, Phillip will receive a €10,000 iTunes® Gift Card. All music on the iTunes Store comes in iTunes Plus®, Apple’s DRM-free format with high-quality 256 kbps AAC encoding for audio virtually indistinguishable from the original recordings. Apple has reinvented the mobile phone with its revolutionary iPhone and App Store, and is defining the future of mobile media and computing devices with iPad. If you were reticent about downloading a $0.99 song, there is no financial barrier between you and a free app. Monkey Drums” by Chase Buch, Apple said, and the song was bought by a user in Germany.

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