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Spotify Raises Prices to More than Apple Music

By Laura Tucker
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Spotify seems to be reasonably assured it can outlast any competition. Why else would Spotify be raising its prices to be higher that its main competitor, Apple Music?

Brief History of Spotify vs. Apple Music

The rivalry between Spotify and Apple Music dates back to the launch of Apple Music in June 2015. Spotify, founded in 2006, had already established itself as a dominant player in the music streaming industry with its freemium model and extensive music library. Apple Music, on the other hand, entered the scene as a subscription-based service, backed by the company’s vast resources and existing customer base.

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Image source: Unsplash

Upon its launch, Apple Music quickly gained traction, due to its integration with Apple’s ecosystem of devices and services. The service offered exclusive album releases, curated playlists, and a 24/7 live radio station, setting itself apart from Spotify’s algorithm-driven recommendations and user-generated playlists. Despite this, Spotify maintained its lead in terms of total users and global reach, benefiting from its early-mover advantage and strong brand recognition.

Over the years, the competition between Spotify and Apple Music has intensified, with both services constantly innovating and improving their offerings. Spotify focused on expanding its podcast library and personalized playlists, while Apple Music continued to leverage its exclusives and seamless integration with Apple devices.

The rivalry has not only fueled advancements in music streaming technology but also sparked debates around fair competition and antitrust issues in the tech industry, as both companies vied for a larger share of the growing music streaming market.

Spotify Will Now Cost You More than Apple Music

Spotify has now taken a strategic step in increasing its subscription rates. Raising its prices has resulted in Spotify’s subscription costs surpassing those of Apple Music. Spotify Premium Individual now costs $11.99 per month, While Apple Music only costs $10.99 per month. The Spotify Family plan now costs $19.99, while Apple Music Family costs $16.99. Spotify Premium Duo, allowing two people to listen, is now $16.99. But why would someone do that, when they can bring six people to Apple Music Family for the same price?

Spotify Raises Prices Due Family Plans

Spotify claims this is to invest in and bring more innovation to the service and its features. However, it’s crucial to note that subscribers may not see it that way, and may be upset about being shaken down for more money each month.

Yet, it could also reinforce the premium nature of Spotify’s service, rather than being seen as “budget.” Spotify could be aiming to further differentiate itself from Apple Music and other competitors. This could be an attempt to position itself as a premium service provider in the music streaming market, asserting the added value it offers over other platforms.

This strategy may not be welcomed by all Spotify users, particularly those who are price-sensitive or who do not see a significant difference in the quality of services between Spotify and Apple Music. For them, the price increase could lead to them considering more affordable alternatives, such as Apple Music.

With Spotify raising its prices, it represents a significant shift in its pricing strategy and could have various implications for the company, its user base, and the broader music streaming industry. It will be interesting now to see how Apple Music reacts: if they capitalize on it by advertising that they are now the cheaper of the two, or whether they, in turn, raise their prices to keep the competitive edge. If Spotify raising its prices is all too much for you, learn how to delete your account.

Image credit: Unsplash. Screenshot by Laura Tucker.

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Laura Tucker
Laura has spent more than 20 years writing news, reviews, and op-eds, with the majority of those years as an editor as well. She has exclusively used Apple products for the past 35 years. In addition to writing and editing at MTE, she also runs the site’s sponsored review program.

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