The record producer was hired by Apple in 2014 to help mould its streaming service.
Iovine and Dr. Dre are the co-founder of Beats and both became part of the Apple Music team when Apple bought the company in 2014.
The acquisition of Beats is still the largest in the company's long and storied history. It is believed his departure is timed to his Apple shares fully vesting, sources tell Billboard.
Apple Music now has 30 million subscribers, a number far less than the ambitious goals Apple had laid out during its launch in 2015.However, earlier this week the industry leader Spotify announced that it has 70 million subscribers and it seems Apple has a lot of ground to cover to catch up with the Swedish company founded by programmer Daniel Ek. Spotify still leaves it in the dust, with twice the amount of premium subscribers.
Iovine has been making progress with Apple Music, but it's unlikely he'll turn the streaming music market into the massive cash cow studios want by August.
Cue's department at Apple is planning some original content but it is not yet apparent if it will be within Apple Music.
Iovine and Dre moved into the consumer electronics space with Beats by Dre headphones in 2008. Though he never had an official title with the company, he no doubt offered his major label expertise to Apple Music executives, who have partnered in several exclusive deals with artists like Drake and Chance The Rapper.
Iovine's plans at this point are unconfirmed.