Yahoo today launched its Yahoo! Music Unlimited service. The service offers access to a library of 1 million songs, with the capability to transfer songs to a selection of portable players. Subscribers pay either $7/mo or $60/yr for access to the service, pricing which Yahoo! claims is introductory.

The service enters a marketplace geared towards providing alternatives to Apple’s dominant iTunes Music Store. The iTunes Music Store claims to have over 70% of the nascent online music market, and Apple’s iPod line of portable music players enjoys a similar share of the portable digital music player market.

Notably, Yahoo’s service does not provide support for the iPod.

Yahoo also seeks to undercut its competitors; its prices are less than half that of its main rival Napster. Yahoo also offers integration with its Yahoo! Messenger service, allowing subscribers to swap songs with people on their buddy lists. Yahoo offers player software similar to iTunes, which subscribers can use to access the service.