In 2015, Apple launched Apple Music, aiming to crush Spotify. With $200 billion in cash, control over the iPhone ecosystem, and strong relationships with record labels, Apple had everything it needed to dominate. Spotify, a much smaller company at the time, should have been wiped out.
But Apple made a critical mistake. Instead of competing fairly, they tried to rig the system.
Apple’s “Apple Tax” and Spotify’s Fightback
Apple charged Spotify a 30% App Store tax on subscriptions. This meant Apple Music could offer a $9.99 monthly plan while Spotify had to charge $12.99 or lose money. It was a setup that forced Spotify into an impossible position.
Spotify found a way around it. They removed in-app purchases from iPhones and told users to subscribe directly on their website. This saved them money but came with a cost—Apple wasn’t happy.
Apple’s Retaliation Against Spotify
Apple responded by making life difficult for Spotify:
- They blocked app updates
- They rejected new features
- They delayed bug fixes
Apple crippled Spotify’s user experience while Apple Music kept improving. But Spotify had something Apple couldn’t stop—it was everywhere.
Unlike Apple Music, which was locked inside the Apple ecosystem, Spotify worked on Windows, Android, PlayStation, Tesla, and even Apple devices.
The Turning Point: Spotify’s Lawsuit Against Apple
By 2019, Spotify realized Apple wouldn’t stop its attacks. So, they filed an antitrust lawsuit in the EU, accusing Apple of using its App Store as a weapon to destroy competitors.
The European Commission agreed. They launched a multi-billion dollar antitrust case against Apple, challenging its App Store policies for the first time. This wasn’t just about Spotify—it was about the entire app economy.
Meanwhile, Spotify kept growing. It introduced AI-powered playlists, personalized recommendations, and a massive podcast empire, buying shows like The Joe Rogan Experience and Call Her Daddy.
Apple Music, meanwhile, remained little more than a modern version of iTunes.
Spotify Wins the Streaming War
By 2025, the numbers told the story:
- Spotify: 675 million+ users, 263 million paying subscribers
- Apple Music: 112 million subscribers
Despite Apple’s power, Spotify won.
Apple Forced to Change
The legal battle isn’t over. In 2025, Apple is still under regulatory pressure, forced to change its App Store policies. Regulators are cracking down on Apple’s payment restrictions and other monopoly-like behavior.
The Lesson: Even Giants Can Fall
Apple tried to kill Spotify. But money and power weren’t enough.
Spotify fought back, and against all odds, it won. This war isn’t over, but the underdog is still standing—and stronger than ever.
