Sony has no plans to withdraw Sony Music songs from Apple’s iTunes Store as payback for Apple’s decision to block the Sony e-reader app from the Apple App Store, says “Business Insider” (http://macte.ch/gKE4B).

Earlier this week, it was reported that Sony might pull its artists from Apple’s iTunes Store, as well as withhold its games from the iPhone, in what could spark an “all-out war” between the two companies, according to “Yahoo News” (http://macte.ch/qv7oI).

Sony plans to launch a rival online music store to iTunes in Australia called Music Unlimited. The company may also be planning to launch a gaming service that would enable mobile phone users to play first generation Playstation games on their handsets — a service Sony says is unlikely to be available through iTunes.

“Yahoo News” says Sony Computer Entertainment CEO Michael Ephraim told reporters that Sony’s music streaming is a “new technology” that gave consumers greater freedom to play their music on a variety of devices. “If we do (get mass acceptance) then does Sony Music need to provide content to iTunes?” he is quoted as saying. “Currently we have to provide it to iTunes as that’s the format right now. Publishers are being held to ransom by Apple and they are looking for other delivery systems, and we are waiting to see what the next three to five years will hold.”

But Sony Network Entertainment COO Shawn Layden says the company isn’t abandoning iTunes. “Sony Music as I understand it has no intention of withdrawing from iTunes, they’re one of our biggest partners in the digital domain,” he told “Business Insider.” “I think those words were either taken out of context or the person who spoke them was unclear on the circumstances.”