Apple Music has a new chief, and 40 million paid subscribers

Apple Music has a new chief, and 40 million paid subscribers
Apple Music has a new man at the top after Apple announced today the promotion of Oliver Schusser. His business cards will now read 'vice president of Apple Music & International Content,' and he will report to Eddy Cue. The latter is Apple's senior vice president of Internet Software and Services. Schusser played a key role in Apple's acquisition of Shazam, and had worked overseas on the App Store, iTunes, iBooks and more. He will make the move from London to California.

Today's announcement also gives us an updated count on the number of paying subscribers using Apple's streaming music service. At the moment, Apple Music has 40 million paying subscribers in 115 countries. The previous count, released a month ago, showed Apple with 38 million paying Music members, an increase of 2 million (5.6%) from February to March. The new figures show that another 2 million signed up from March to April (a gain of 5.3%) to pay for Apple Music. This monthly growth rate in the 5% area tops the 2% growth that market leader Spotify is achieving. Which means at this pace, Apple Music will eventually have more paying subscribers than Spotify. The latter, which went public earlier this month, has 70 million subscribers shelling out $9.99 a month (or $14.99 monthly for a family of six or less). Apple Music charges the same prices.

While Spotify does offer a free tier of service supported by ads (which has another 70 million users), Apple offers a three month free trial that is currently being used by 8 million members. This helps produce a steady flow of new subscribers for Apple Music.

source: Variety

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27 Comments

1. RevolutionA

Posts: 398; Member since: Sep 30, 2017

Everyone should use this instead of spotify or youtube or any other Sh***y play things

10. RebelwithoutaClue unregistered

Why would I use Apple Music? I prefer Spotify and keep on using Spotify. It's a great platform. No way I am using Apple music since the PC platform sucks and it doesn't support iDeal.

13. Subie

Posts: 2381; Member since: Aug 01, 2015

That's the dumbest idea you could want mate. Without good competition Apple Music's services would start to stagnate and yet the prices would go up. There needs to be some sort of good competition to keep them all in check. And as a consumer I'd like that to mean good services/products, at a reasonable price!

24. tedkord

Posts: 17408; Member since: Jun 17, 2009

I use Google Play music. It's just better. I tried Apple Music when it first launched, and wasn't impressed. The app was buggy, the music matching algorithm was crap. I dropped it before the free 3 months was up.

2. cmdacos

Posts: 4258; Member since: Nov 01, 2016

3. Ninetysix

Posts: 2965; Member since: Oct 08, 2012

Frequent Walmart shopper spotted.

6. cmdacos

Posts: 4258; Member since: Nov 01, 2016

If smart decisions makes me a Walmart shopper ok... #applefanlogicatwork

17. rouyal

Posts: 1583; Member since: Jan 05, 2018

Hashtag in the comment? #thisainttwitter

4. midan

Posts: 2982; Member since: Oct 09, 2017

Spotify can't keep up with the Apple music growth, Spotify just doesn't have tools for that. Apple can do so much more with their Apple music in the future. Best thing what Spotify has is their free Spotify, but it's not good for the company itself.

11. RebelwithoutaClue unregistered

Their paid subscription is great and they offer it on any platform. And you don't have to install this sh!tty iTunes. I switched from Google music to Spotify and ain't going to switch soon.

15. sirohunter

Posts: 204; Member since: Sep 23, 2017

You don't need iTunes on any other platform other than a PC/MAC. Just download the apple music app and enjoy ;)

21. RebelwithoutaClue unregistered

Since I listen to music on my laptop and PC as well, I would need it, space no thanks

12. mootu

Posts: 1527; Member since: Mar 16, 2017

Apple is only catching up at 600,000 a month. 2% of of 70 million is 1.4 million a month growth for Spotify. So at current growth rate ot would take over 4 years for Apple to draw even and thats if Spotify's membership doen't grow at all., but they are growing so it will take Apple even longer. Also why is their free Spotify not good for the company ?, it still brings in ad revenue for every account.

14. toukale

Posts: 641; Member since: Jun 10, 2015

The free option was great to help the company grow in the beginning, like every startup do. Spotify has been around for about 10 years now and have yet to turn a profit and that is not going to change anytime soon since those contracts are not going to go lower. Apple, Google, Amazon run their music services as a side projects that platform holders do. Music streaming is not their business, but is for spotify. If those 3 tech giants really want to compete in music streaming, they can squeeze spotify out of the business in about a year. How long you think spotify will last if those 3 decides to taking a couple billions lost for a year or two by cutting their prices by half for everyone. Can spotify do the same, and for how long before wall street revolt because of the massive lost (which they can't afford). That's the danger spotify is in, they are at the merci of those tech giants. Those guys can afford to lose a few billions for a few years and they won't even feel it.

20. midan

Posts: 2982; Member since: Oct 09, 2017

you said it very well!

23. mootu

Posts: 1527; Member since: Mar 16, 2017

"How long you think spotify will last if those 3 decides to taking a couple billions lost for a year or two by cutting their prices by half for everyone. " Apple cut prices? You have more chance of the pope turning protestant.

26. midan

Posts: 2982; Member since: Oct 09, 2017

Apple really don't need to do that. It was just example showing how difficult situation spotify has. If Apple and others would lower the prices, Spotify couldn't compete. It's just like those Chinese smartphone companies, they put the price very low and no big companies can follow, that's why all the old big android companies are in big trouble.

19. midan

Posts: 2982; Member since: Oct 09, 2017

What?, Apple is growing 2 million in month speed currently. "Also why is their free Spotify not good for the company ?, it still brings in ad revenue for every account." you don't know that spotify isn't profitable Company and never been? Clearly they don't do enough money with those free users and i''m not sure they do with Premium either.

22. mootu

Posts: 1527; Member since: Mar 16, 2017

"What?, Apple is growing 2 million in month speed currently." And Spotify is growing at 1.4 million a month, you seem to forget that Spotify's paying subscriber base is growing at 2% as well. That equates to Apple gaining 600,000 more subscribers per month. It's going to take a long time to catch up. As for turning a profit, they are still putting money into expanding, it's quiet common with these types of business. For example Amazon didn't turn a profit for 7 years. Netflix is 20 years old and is only just starting to turn a profit.

28. CreeDiddy

Posts: 2244; Member since: Nov 04, 2011

That’s an average buddy. Once Apple launches new iPads and iPhones the subscriber base increases by 2 to 1. Wait til Holiday season it will increase substantially...Apple will have at least 60 million paid subscribers by the end of this year to Spotify’s projected 85 million.

27. RebelwithoutaClue unregistered

You do know their losses are mainly because of the massive debt they have to pay back (especially with bad exchange rates influencing it as well).

25. tedkord

Posts: 17408; Member since: Jun 17, 2009

Apple's growth will slow just as Spotify'a does. There's a limited market, and it's reaching saturation. Apple added 2 million per month, Spotify added 1.35 million at the same time.

8. gamehead unregistered

I remember the days when Apple charge 99 cents per song and there was nothing you could do about it

9. Subie

Posts: 2381; Member since: Aug 01, 2015

For me that the cheaper route though. Purchase only the music you want once and then listen to it as much as you want...

16. sirohunter

Posts: 204; Member since: Sep 23, 2017

what about discovering new music? playlists and still being able to listen to a song as much as you want? For me $4.99 (student membership which spotify also has fyi) is totally worth it :)

18. Subie

Posts: 2381; Member since: Aug 01, 2015

Good deal. To each their own my friend. And for discovering new music... radio is free.

* Some comments have been hidden, because they don't meet the discussions rules.

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