Google has reportedly licensed music from Universal Music Group and Sony Music Entertainment to launch a subscription music service that would compete with start-up Spotify, according to a report on Tuesday. The Verge reported that Google would unveil the streaming music service at its annual developer conference, which kicks off on Wednesday in San Francisco. The company will create separate music subscription services to its Google Play store and to its YouTube video website, according to report.

Apple is also talking with music labels about tacking a subscription service option onto iTunes.

Google is also expected showcase the latest mobile devices running on its Android software at its annual "Google I/O" software developers' conference. The company will talk about everything from its Android operating system to Google Maps to its Google Plus social network.

Google hasn't spelled out what its executives will discuss, but much of the speculation has centered on a possible upgrade to the Nexus 7, a tablet that debuted at last year's event as an alternative to the similarly sized Kindle Fire made by Amazon.com and the larger iPad. The next version of the Nexus 7 is expected to feature a faster processor and a higher resolution display screen while maintaining the same $199 sales prices.

Another Google-designed phone under the Nexus brand is also a possibility.

A sneak peak at the next generation of Android ("Key Lime Pie,") could be in the offing, too.

Other possible introductions include laptops running on Android or another Google operating system based on the company's Chrome web browser.

On other fronts, Google is believed to be working on a digital gaming center that could be unveiled Wednesday.

Google's opening keynote is scheduled to begin at 9 a.m. PT.