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Spotify can show U.S. iPhone users other ways to pay after Apple court ruling

By TheFinanceBase Team6 min read
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Spotify’s approved U.S. iPhone app update lets it show pricing and direct users to purchase options outside Apple’s in-app payment system. The change followed a judge’s April 30, 2025 finding that Apple had willfully violated an earlier court injunction in Epic Games v. Apple. Spotify was not the plaintiff in that case, and the change does not mean Apple lost control of the App Store or that Spotify’s payment rules changed worldwide.

What changed—and what did not

Question What the evidence supports
Can U.S. iPhone users see Spotify pricing and purchasing information? Yes. Spotify said its approved update lets it show pricing, subscription information and promotions, and direct users to purchasing options outside Apple’s payment system.
Can users buy audiobooks or listening-hour top-ups? Spotify specifically identified individual audiobook purchases and extra audiobook listening hours as features in its rollout.
Does every Premium plan now process inside Spotify’s iPhone app? Do not assume so. The announcement established new disclosures and external purchase routes, not universal in-app purchasing for every plan.
Does this apply worldwide? No. Spotify described the change for U.S. consumers. Other regions have separate laws and rules.
Does Apple still control iPhone app distribution? Yes. The dispute concerns steering and payments, not Spotify distributing its iOS app independently of Apple’s App Store.

Spotify announced the update on May 1, 2025, and said Apple approved it by May 2. The concrete effect is that users can get more information about prices and follow routes to a Spotify purchase without being confined to Apple’s billing flow. The update’s named examples included audiobook purchases and top-ups beyond the listening hours included with Premium. Spotify’s announcement and implementation details were specifically about U.S. consumers.

That distinction matters to anyone deciding where to subscribe. Spotify had historically directed would-be subscribers to its website rather than offering ordinary Premium subscriptions through Apple’s in-app billing system. The key new freedom was the ability to communicate prices and purchase routes in the iOS app—not proof that every plan is now bought or billed there.

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How an Epic lawsuit led to Spotify’s change

The case was Epic Games v. Apple, not a Spotify lawsuit. In the earlier litigation, the district court ordered Apple to let developers communicate with users about purchasing methods outside the App Store. Apple introduced rules to comply, but Epic argued those restrictions still obstructed developers from steering customers to external purchases.

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On April 30, 2025, U.S. District Judge Yvonne Gonzalez Rogers found that Apple had willfully violated the injunction. The resulting order restricted Apple’s ability to limit links, buttons and calls to action directing users to external purchasing options, and barred the challenged commission on qualifying external purchases. The court order, reproduced in a Supreme Court filing, is the legal basis for the change; Spotify was one prominent developer able to put it to use.

“Stranglehold” describes Spotify’s criticism, not a neutral summary of the legal finding. The practical issue was broader than which company processes a card payment: Apple’s rules had also constrained what developers could tell customers about prices and where they could buy. For a subscription business, limits on price information and customer steering can shape how customers discover offers, subscribe and manage the billing relationship.

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Does Apple still get a cut?

It depends on how and where a purchase is made. A transaction processed through Apple’s in-app payment system remains subject to the applicable App Store terms and economics. A purchase made on Spotify’s website after an external route is a different kind of transaction: the April 2025 order restricted Apple’s challenged external-payment fees and steering practices. The ruling did not erase every App Store fee or every financial relationship between Apple and developers.

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The scope of any fee Apple might charge for external transactions remained contested in subsequent proceedings. The Supreme Court denied Apple’s application to pause the order on May 6, 2026, according to its stay docket. Apple’s broader petition was still reflected in filings through June 2026 on a separate Supreme Court docket. As of August 18, 2026, the merits challenge should not be treated as resolved. The practical takeaway is not “Apple gets nothing,” but that external purchases covered by the order cannot simply be treated as Apple in-app transactions.

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Could Spotify’s direct route save you money?

Possibly, but the court did not order Spotify to lower prices. More control over checkout may give Spotify room to adjust offers or avoid some costs associated with Apple’s payment route. Whether a particular user gets a lower price depends on Spotify’s current pricing, plan eligibility, taxes, promotions and account history. A court ruling creates permission and leverage; it does not guarantee a discount.

If you follow an external link, check the final price and the billing details before buying. You may need to sign in or enter payment information on Spotify’s website instead of using Apple’s stored payment credentials. Spotify—not Apple—may handle billing questions, refunds, subscription changes or cancellation for that purchase. Family and student plans can also involve eligibility checks. Compare the actual offer shown to you, rather than assuming the payment route alone makes it cheaper.

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Where the change applies: the U.S. and Europe are different

Spotify’s announcement concerned U.S. users. It does not establish that the same options appear in every country. In the European Union, Apple’s obligations arise under a separate framework: the Digital Markets Act (DMA). The European Commission designated Apple’s App Store, iOS, Safari and iPadOS as core platform services under the DMA, and the Commission said in April 2025 that Apple breached the law’s anti-steering obligation and fined it €500 million. The Commission’s decision and 2026 implementation report concern that separate European regime, not an extension of the U.S. injunction.

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For users elsewhere, availability depends on local law, Apple’s terms and the app’s implementation. The U.S. ruling also says nothing by itself about Android or Google Play, which are subject to separate rules and disputes.

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What this means for other apps

The ruling may matter to developers selling subscriptions or digital products—including music and video services, news and magazine apps, e-books and audiobooks, cloud storage, productivity tools and games. They may gain room to explain external offers and direct users to web checkout. But legal permission does not install a checkout flow or make every app change immediately.

Each developer still has to decide whether a direct route is worthwhile. It must build and maintain checkout, handle payment security, fraud, taxes, refunds and customer support, and connect web purchases to access in the app. Leaving Apple’s flow may also mean giving up conveniences such as stored payment details and a familiar one-tap checkout. The rules and available options can vary by country, product and agreement. Apple also retains control over App Store distribution and review.

What to watch next

The next question is how the continuing court challenge defines Apple’s obligations around external transactions, including whether any cost-based fee can be charged. The Supreme Court’s denial of a stay left the order in effect at that point, but it did not itself settle the broader dispute. Developers and consumers should distinguish a currently available app feature from a final resolution of the legal case.

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Written by TheFinanceBase Team

The Team behind TheFinanceBase.

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