Apple is negotiating with the big record labels to allow unlimited iTunes downloads so people can use the music they've paid for on many devices, Bloomberg reports.

This is a no brainer for Apple. They want as few restrictions as possible on downloaded music because it's better for consumers, and therefore better for its stores. Meanwhile, record labels want restrictions because, well, they're record labels.

Apple's music store has 70%+ marketshare and Steve Jobs knows how to drive a hard bargain. But Apple does need the labels as much as the labels need Apple. Bloomberg sources say there might be an agreement by the middle of this year. We'll see.