Spotify reports increase in Premium subscriptions following iOS payment policy change

Spotify stated that an iOS app update, which received Apple’s approval earlier this month, led to "a significant boost" in the number of users upgrading from free to Premium subscriptions.

On May 2, Spotify announced that Apple had approved its updated app in the U.S., following a federal court ruling that determined Apple was in “willful violation” of an earlier injunction targeting its App Store policies.

With the update, Spotify users on Apple devices can now access alternative payment methods beyond Apple Pay. Previously, apps were prohibited from referencing other payment options or suggesting that external payments could be more secure.

Spotify is one of the first companies to roll out an updated app, a development stemming from a legal dispute that began with Epic Games’ 2020 lawsuit challenging Apple’s control over app distribution.

On April 30, U.S. District Judge Yvonne Gonzalez Rogers ruled that Apple had breached a 2021 injunction banning anticompetitive pricing practices. The judge ordered Apple to cease its unlawful conduct, citing the company's policy of charging a 27% commission on apps using external payment methods.

According to Spotify’s internal metrics, recent iOS app updates have already led to a notable rise in the number of iOS users switching to Premium subscriptions.

In a new court filing dated Wednesday (May 21) and obtained by TechCrunch, the streaming service stated: “The 2025 Order has delivered meaningful advantages for developers and — even more critically — for consumers.”

Spotify's internal data indicates that recent iOS app updates have already driven a notable uptick in iOS users upgrading to Premium subscriptions. The company's statement also noted that Apple's compliance has paved the way for new product innovations that would not have been feasible without the Injunction.

“This provides strong evidence that the rise is a direct result of Apple’s compliance with the Injunction, made possible by the 2025 Order.”

Spotify noted in the filing that while conversion rates from free to Premium remained “relatively steady” on Android devices, iOS saw a significant surge within just two weeks of the update’s release.

The company reportedly stated, “This strongly indicates that the increase is a result of Apple’s recent compliance with the Injunction, enabled by the 2025 Order.” Spotify also highlighted early encouraging trends in audiobook sales within just three days of introducing the new features.

Spotify’s court filing aligns with those of other major companies, including Microsoft, in support of Epic Games’ ongoing lawsuit against Apple.

In the first quarter of 2025, Spotify reported a 12% year-over-year increase in its Premium subscriber base, reaching 268 million — its strongest Q1 subscriber growth since 2020. The company also posted a record operating income of €509 million ($535.6 million), with revenue rising 15% year-over-year to €4.19 billion ($4.4 billion).

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