Tidal has two tiers and Apple could to. Also, those paying for lossless would not all be streaming in lossless simultaneously.... many would pick lower bit rates when on cellular. There is no reason Apple can't offer a premium tier. They have a Mac Pro which isn't a mainstream computer, but it worth it to them to have it for branding. They have the Edition watch...which I guarantee has a smaller audience than those that care about sound quality.AAC is a more efficient codec than MP3 so you can get a lower bitrate file with similar or even better audio quality. Don't let the numbers thing fool you. Unless you can tell in a blind test, there's no benefit to higher bitrate. Many cellular plans are limited in data so it's not in the interest of consumers to stream higher bitrate files when nearly all of them won't be able to tell the difference.
SDAVE, maybe you are one of the exceptions but do you really think it makes sense for Apple to build their model around you?
You even said you weren't willing to pay $20 a month for it. So I don't even know what point you're trying to make. If you, a self-proclaimed audiophile, wouldn't pay for it, why would any regular consumers?
You also perfectly illustrated my point about audiophile gear. $2000 is boatload of money on audio equipment for 99.99999% of people. People get heart attacks just paying for beats headphones. I know they're terrible for the price but my point is people are barely willing to pay $300 for headphones. This bolsters my point about the audience for lossless streaming being next to nonexistent.
Uofmtiger, presumably streaming higher bitrate files will require more bandwidth. Hence, more infrastructure costs. Tidal can do it because they're charging $20 a month for it and have less customers. I would be willing to bet that by fall, Apple Music has more subscribers than tidal's total service, let alone its lossless service. That all adds up.
The fact that the vast majority cannot tell the difference or even cares about the difference, combined with the extra costs of having to run such a service make it unlikely to ever occur. I'm not against it on principle or anything, I just don't see it happening. But I'm not the one you have to convince, Eddy Cue is
If Tidal had Siri integration and my lossless music catalog I would gladly pay $20 for the full package. They come up short in many other areas, so the trade offs plus double the cost doesn't make it is a good value. In other words, they aren't failing because they have a premium tier. Their extremely horrific marketing, lack of integration with iOS, late start, lack of money to pay for three free months for every customer, lack of a free tier, lack of a recognizable brand name, just now coming out with a desktop app, lackluster curation, are all bigger reasons for their lack of success. I don't know anyone that is not using them because they have a premium tier. In fact, everyone I know that uses them has the service for their lossless music tier.
Personally, I don't think Apple will budge from 256k, but that doesn't mean it is good for their brand to offer lower bit rates than every other service. Read just about any article on the service and this shortfall is mentioned. For my needs, I can live with the lossy file trade offs to get the upsides to the service, but I would feel better about it if I had an option for a premium service.