Spotify is set to update its app on Apple devices in the European Union on Wednesday, showing the prices of its plans and services, according to a Reuters report. This move comes three months after Apple initially rejected Spotify’s request to include such pricing information.
The initial rejection was due to Spotify’s refusal to accept Apple’s latest terms, known as the Music Streaming Services Entitlement, which dictate how music streaming apps in the European Economic Area (EEA) should inform users about alternative purchasing options.
Spotify is offering its music service for free for 1 month in the European Union. The price will be €11.99 per month after the first-month. The price for Duo is €16.49 per month. The price for Family is €19.99 per month.
Spotify has since agreed to these terms but has chosen not to include an external link for purchases in its iOS app, as this would require paying Apple a commission on those transactions. Spotify has nearly 626 million music customers on digital platform. Spotify’s 28 percent of its total customers are in the European Union.
Spotify has 246 million premium subscribers. Spotify says 38 percent of its premium subscribers in the European Union. Spotify has generated revenue of €3,351 million from premium subscribers during the second-quarter of 2024. Premium ARPU of Spotify was €4.62.
Apple clarified that the acceptance of its terms did not necessitate the inclusion of an external payment link. Despite the update, Spotify expressed that while the development is a positive change, it is only a small step in the long march towards giving iPhone consumers basic product experiences they expect and deserve in their apps.
This update follows Apple’s decision in April to make it easier for music streaming apps to communicate with users on iOS devices in the EU. Apple made changes in its App Store policy after the European Commission fined Apple 1.84 billion euros ($2 billion) for restricting competition on its App Store.
Baburajan Kizhakedath
