Back
Vishu Bheda
•
Medial • 6m
In 2015, Apple tried to crush Spotify with brutal tactics. They had all the power—billions in cash, the App Store, and millions of loyal users. But Spotify didn’t back down. Instead, they launched a counterattack so bold, it changed the rules of the game forever. Here’s how: In 2015, Apple launched Apple Music, making things tough for Spotify. Apple demanded 30% of Spotify’s in-app subscription fees, delayed its app updates, and even considered removing Spotify from the App Store. Spotify had two bad choices: 1. Pay the 30% fee and increase subscription prices, making Spotify more expensive than Apple Music. 2. Stop in-app payments, which might hurt sign-ups. Instead of giving in, Spotify took a smarter route: 1. Dodging Apple’s Fee: Spotify removed the option to sign up through the app. Instead, it told users, “Want Spotify Premium? Sign up on our website—it’s easy!” This way, Spotify avoided paying Apple’s 30% fee. 2. Calling Out Apple: In 2019, Spotify launched the “Time to Play Fair” campaign, accusing Apple of being unfair. They made videos and a website explaining how Apple blocked competition. Spotify’s CEO spoke out, gaining public support. 3. Taking Legal Action: Spotify filed a complaint in Europe, and by 2022, the EU ruled that Apple’s rules were anti-competitive. This forced Apple to make changes. Despite Apple’s challenges, Spotify thrived. Today, Spotify has over 200 million paid subscribers—double Apple Music’s numbers. The lesson? When faced with unfair rules, don’t give up—find a smarter way to win. If you like this, then follow me for more such amazing business case studies.
Replies (14)
More like this
Recommendations from Medial
Chamarti Sreekar
Passionate about Pos... • 5m
Spotify didn’t just compete with Apple Music—it built a network effect machine. While Apple Music pays artists more per stream, Spotify dominates with 675M users vs. Apple’s 93M. Why? Spotify made music social. Every shared playlist, collab, and fr
See More
gray man
I'm just a normal gu... • 6m
Apple deepens its retail presence in India with the launch of the Apple Store app. Indian customers can now directly purchase Apple products, customize Macs, arrange delivery, and get personalized shopping recommendations through the app. This launc
See More
Chamarti Sreekar
Passionate about Pos... • 5m
Apple just launched a new app: Invites This app helps users create custom invitations to gather friends and family for any occasion. "With Apple Invites, users can create and easily share invitations, RSVP, contribute to Shared Albums, and engage w
See More
Rahul Das
Product and analytic... • 1y
Apple is the most profitable company because they master both volume and premium pricing. They sell millions of iPhones and MacBooks at high prices, ensuring hefty profits per item. Apple’s "MOAT" locks customers into their ecosystem. If you buy an
See More
Download the medial app to read full posts, comements and news.