Earlier this week, Apple announced its Podcasts subscriptions, where content creators can publish ad-free podcasts, exclusive bonus content, and early access to episodes for a monthly rate. Think of it as similar to Patreon. Recently, Apple offers its companion products to Apple TV+ originals.
Do you know that Spotify has podcasts as well, including its exclusive originals? It turns out that it plans to compete against Apple when it comes to premium subscriptions. The most interesting part is that it will not take a cut out of the revenue unlike Apple. Just like with the 70/30 split revenue on the Apple Developer Program, Apple will take 15-30% cut of the revenue in addition to the $20/year membership fee for the Apple Podcasters Program.
That leaves this question – how can Spotify earn money from podcasters? Remember that Spotify is still earning money through ads as well as Spotify Premium, and it already has twice the paying number of subscribers. Additionally, Spotify is more cross-platform. The Wall Street Journal reported that Spotify will announce its premium podcast program next week. If that’s the case, it will surely attract creators who don’t want to deal with Apple’s revenue cuts.
What do you think about Spotify’s take on premium podcast subscriptions? Let us know in the comments below, or tweet us at @Appleosophy.