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Spotify reports increased subscriptions thanks to external payments on iOS

Eugene Okyere by Eugene Okyere
5 months ago
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Spotify reports increased subscriptions thanks to external payments on iOS
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Spotify announced that its ability to direct users to external payment links in its iOS app has positively impacted sales. In a recent amicus brief supporting Epic Games in its ongoing legal dispute with Apple over external payments on the App Store, Spotify revealed that its internal data shows a significant rise in iOS users upgrading to Premium subscriptions since the update.

Following a U.S. District Court ruling favoring Epic Games regarding external payments, Apple was compelled to allow U.S. app developers to inform customers about alternative payment methods within their iOS apps, bypassing Apple’s commission.

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Now, developers can inform users about web billing options and any discounts for direct payments. Spotify quickly updated its iOS app to leverage this new policy, providing information on subscription costs and directing users to its website for purchases, including audiobooks.

ICYMT: Prof. Bokpin: Power Sector Key to 24-Hour Economy

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The initial results have been promising, as noted in Spotify’s filing. It states, “The 2025 Order has created substantial benefits for developers and consumers.” Spotify’s updates have led to a marked increase in iOS users converting to Premium subscriptions, while also enabling product innovations that were previously impossible.

The revised “Premium Destination Page” in the app informs free users about upgrading and includes a checkout link. Since implementing these changes, Spotify has observed a constant conversion rate on Android, while the iOS conversion rate has significantly risen.

Spotify attributed this increase to Apple’s compliance with the injunction resulting from the 2025 Order. Additionally, the company is already seeing positive effects on audiobook purchases just three days after launching the new options.

Spotify did not disclose specific numbers regarding these increases. Its brief supports Epic Games alongside other companies as Apple contests the injunction that altered its App Store practices.

Apple is appealing the court’s decision and seeks to maintain its previous policies during the legal proceedings. After pressure from the court, Fortnite has returned to the App Store after a five-year absence. The case continues in the U.S. Court of Appeals for the Ninth Circuit, where Apple recently filed an Emergency Motion to revert to its old policy, which the court did not grant.

SOURCE: TECH CRUNCH

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