Will Apple Music launch a super-premium tier?
With Spotify set to release a more expensive premium tier, will Apple Music follow suit- or does it even need to?
Spotify’s new ‘Music Pro’ tier- a quick recap
As growth in many major music streaming markets slows, platforms are exploring ways to increase revenue. Spotify has long been rumoured to launch a super-premium tier, which looks to be launching soon as part of a “Streaming 2.0” initiative.
This higher-priced plan is expected to include:
- Enhanced audio quality.
- Concert ticket access.
- DJing and song remixing tools.
A Bloomberg report suggests that Apple Music and Amazon Music have considered similar premium offerings. However, there’s little indication that either will follow through in the near future, especially as Spotify spent years developing its more premium offering.
Does Apple Music have room for a more premium tier?
Unlike Spotify, Apple Music already includes high-fidelity audio across all its subscription tiers, including individual, student, and family plans. This leaves little room for additional audio-related benefits in a pricier tier.
Financially, Apple Music operates on solid footing, already paying higher royalty rates than competitors. It also previously offered financial incentives for artists to upload their tracks in Spatial Audio and did not raise prices when launching Apple Music Classical. This contrasts with Spotify, who relies on streaming revenue and only recently achieved a full year of profitability despite being the most popular streaming platform.
A price increase instead?
Given Apple Music’s existing premium offerings across their subscription tiers, a more expensive tier seems unlikely unless Apple introduces entirely new features. Instead, a price increase may be the more probable outcome, considering Apple hasn’t raised its subscription fees since late 2023.
Final thoughts
While speculation about Apple Music super-premium tier persists, there’s currently little reason for Apple to introduce one. However, if Spotify’s upcoming tier proves successful, it could push industry-wide changes that inspire some response from Apple. For now, Apple Music subscribers can enjoy top-tier audio without an extra price tag.
