Does anyone know anything about Google Music?

I just got invited to it, and am now wondering how Google can stay in business with this. The beta is currently free and each user is given 20,000 songs to upload onto the Google server. They may then download and play them on any computer and up to 8 devices. This pretty much turns your Android device into the best MP3 player around.

My only question is how can Google afford this? 20,000 songs is about 200 gigabytes of data per user (at least with my songs). With how many people use Google this is an insane amount of data being sent to Google.

How can a service like this be able to make money? Keep in mind there are no ads, it seems like paying for something like this would be expensive.

Maybe I'm wrong, who knows.

Google has money.

Google literally has unlimited bandwidth.

This is how..

OK point taken, but still. This seems a bit impractical from my perspective.

Google Music is a new service. Doubtful that it uses that much bandwidth when you compare it to some of other Google's services, like YouTube, so Google can easily afford it. If Google Music gains more popularity, then you will start to see ads. No point in having any ads if you're not going to make enough money off of them. Ads will only hurt a new service.

Most web services tend to start ad-free. As the popularity gains, you slowly start to add in ads as to not scare the user away (this seems to be how all major companies do it). People won't like it, but they'll still use it. Eventually, if you gain enough popularity, ads will generate tons of revenue, perhaps even enough to pay for the website altogether.