It’s been just a few days since Apple
announced Apple Podcasts Subscriptions
- a global marketplace for listeners to discover subscription-based podcast content. This involves partnerships with Luminary
and others, and will include titles like the original series Midnight Miracle.
Clearly, Apple’s plans weren't a secret to the rest of the big players in the podcast industry. Only three days after the company announced Podcast Subscriptions, music streaming platform Spotify is also expected to join in with a subscription-based service of their own.
It is believed that Spotify’s subscription-based content service will be free to podcasters. Spotify won’t take a cut from their subscription price either, and might even allow them to set their own prices.
That differs from Apple's Podcast Subscriptions and is good news for content creators. Apple plans to take significant chunk of revenue as commission — 15-30% to be exact. That’s in addition to the $20 annual fee for membership.
None of this is a new concept. Companies like Stitcher (a Sirius XM company), Wondery (an Amazon company), and Luminary have been utilizing this practice for a while. The latter is probably the most significant player here, and as we already know, they’ll be partnering with Apple for some original content which you’d be able to find on both platforms.
The competition between Apple and Spotify has been present for some time. It started with the music streaming wars and is now moving into a new phase - a podcast war. Spotify has the upper hand since its services are available on more platforms, and it nearly doubles Apple Music’s active paying subscribers.
On the other (upper) hand, Apple has the advantage of its “ecosystem”. Apple devices are closely tied together and offer some of the best cross-device experience.
According to the Wall Street Journal
, Spotify’s subscription-based podcast service will debut next week, so it won’t be long until we see all cards on the table.