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Spotify says iOS cost rule change boosted Premium subscriptions


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Spotify stated its iOS app replace, authorized by Apple earlier this month, drove “a big improve” in conversions from free to Premium subscriptions.

On Might 2, Spotify stated Apple authorized its app up to date within the US, a transfer that was prompted by a federal courtroom ruling that discovered Apple in “willful violation” of a earlier injunction in opposition to its App Retailer practices.

Spotify customers on Apple units are actually ready to make use of different cost choices past Apple Pay. Beforehand, apps had been barred from mentioning different cost choices or indicating that exterior funds is likely to be much less safe.

Spotify is among the many first to replace its app, the results of a authorized battle that started with Epic Video games’ 2020 lawsuit difficult Apple‘s app distribution insurance policies.

US District Decide Yvonne Gonzalez Rogers on April 30 dominated that Apple violated a 2021 injunction that prohibited it from imposing anticompetitive pricing. The decide ordered Apple to cease its unlawful conduct after ruling that the tech large pressured apps utilizing exterior gross sales to pay a 27% fee to the corporate.

“Spotify’s inside information present that its iOS app updates have already resulted in a big improve in iOS customers upgrading to a Premium subscription.”

Spotify

In a brand new courtroom submitting obtained by TechCrunch on Wednesday (Might 21), the streaming large stated: “The 2025 Order has created substantial advantages for builders and — extra importantly — shoppers.

“Spotify’s inside information present that its iOS app updates have already resulted in a big improve in iOS customers upgrading to a Premium subscription. Apple’s compliance has additionally enabled new product improvements that might not have been doable with out the Injunction.”

“This strongly means that the rise is because of Apple lastly complying with the Injunction due to the 2025 Order.”

Spotify

Whereas Spotify’s conversion charges from free to premium tiers remained “comparatively fixed” on Android units, iOS conversion charges jumped considerably inside two weeks of the replace’s launch, the corporate reportedly stated within the submitting.

“This strongly means that the rise is because of Apple lastly complying with the Injunction due to the 2025 Order,” Spotify reportedly wrote. The corporate additionally famous early optimistic outcomes for audiobook purchases simply three days after implementing the brand new options.

Spotify’s transient to the courtroom joins others together with Microsoft who’re backing Epic Video games in its lawsuit in opposition to Apple.

Within the first quarter of 2025, Spotify reported a 12% YoY soar in its Premium Subscriber base to 268 million, which it stated was the “highest Q1 Subscriber internet provides since 2020.” The streaming large’s working revenue reached a document excessive of €509 million ($535.6m), whereas income grew 15% YoY to €4.190 billion ($4.4bn).

Music Enterprise Worldwide