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Spotify’s Decision: Discontinuing Apple App Store Payments

Spotify is informing users who have subscribed to its Premium service via Apple’s in-app purchase system that it will no longer accept this payment method. 

Since 2016, Apple’s in-app purchase has no longer been an option for Spotify subscribers. 

Spotify Ceases Acceptance Of Payments

Those who had previously subscribed using this payment method could continue to do so until the present.

According to Variety, the company is emailing affected subscribers to inform them of the impending change. 

The email begins, We’re contacting you because you used Apple’s billing service to subscribe to Spotify Premium. 

Unfortunately, we no longer accept this invoicing method as payment. Spotify continues to indicate that these users will be automatically shifted to the company’s Free, ad-supported tier at the end of the current billing cycle. 

If you wish to maintain your Premium subscription after your last billing period has concluded and your account has been downgraded to a Free account, you will be required to re-subscribe.

However, it’s probably for the best. Due to Apple’s 30% cut of in-app purchases, Spotify users who subscribed via in-app purchases were charged an additional $3 per month compared to those who subscribed directly through Spotify. 

This is despite the fact that Apple has decreased its commission rate on subscriptions to 15% after the first year. 

Apple stated in a regulatory filing from 2019 that it collected a 15 percent fee from approximately 680,000 Spotify customers. 

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Google’s User Choice Billing Program

Spotify’s-decision-discontinuing-apple-app-store-payments
Spotify is informing users who have subscribed to its Premium service via Apple’s in-app purchase system that it will no longer accept this payment method.

Users migrating from Apple’s payments can subscribe to Premium with a credit card or PayPal.

Apple and Google both levy a tax on their respective app stores, regardless of whether a user is purchasing applications or subscribing via in-app purchase. 

User Choice Billing (UCB) is a pilot program that will enable third-party billing systems on Android, commencing with Spotify. This program was announced by Google at the start of the previous year. 

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