Spotify Reports Surge in Premium Subscriptions After iOS External Payment Support
In a significant win for app developers, Spotify has revealed that its recent ability to direct iOS users to external payment links has already boosted Premium subscriptions. The update, enabled by a U.S. court ruling in favor of Epic Games, allows developers to bypass Apple’s App Store fees—and the results are promising.
How External Payments Transformed Spotify’s iOS Growth
Following a landmark court decision, Apple was compelled to permit U.S. app developers to redirect users to alternative payment methods without incurring Apple’s 15-30% commission. Spotify was among the first to capitalize on this change, updating its iOS app to:
- Display clear pricing information for Premium subscriptions
- Direct users to its website for payments
- Enable in-app audiobook purchases (previously restricted)
According to Spotify’s internal data, this shift led to a “significant increase” in iOS users upgrading to Premium—a stark contrast to Android, where conversion rates remained steady.
The Legal Backdrop: Epic vs. Apple
The policy shift stems from Epic Games’ ongoing legal battle with Apple. After a U.S. District Court ruled that Apple’s payment restrictions were anticompetitive, developers gained the right to:
- Inform users about discounts for direct payments
- Link to external checkout pages
- Offer new product features (like Spotify’s audiobook integration)
Spotify’s amicus brief in support of Epic emphasized the benefits:
“The 2025 Order has created substantial benefits for developers and—more importantly—consumers.”
Apple, however, continues to appeal the decision, seeking to reinstate its old policies during the litigation.
Immediate Impact and Future Implications
Within two weeks of launching its updated payment page, Spotify observed:
- A surge in iOS Premium upgrades (exact numbers undisclosed)
- Positive early trends in audiobook sales (just three days post-launch)
Meanwhile, Fortnite returned to the U.S. App Store after a five-year hiatus, further underscoring the ruling’s impact. The case now moves to the Ninth Circuit Court of Appeals, where Apple’s emergency motion to delay compliance was denied.
Why This Matters for Users and Developers
- Lower Costs: Bypassing Apple’s fees could mean cheaper subscriptions for users.
- More Innovation: Developers can now experiment with new monetization models.
- Fairer Competition: Smaller apps gain a fighting chance against tech giants.
As the legal battle continues, one thing is clear: the era of Apple’s payment monopoly is cracking—and consumers are reaping the rewards.
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