Can Apple Take On Spotify With Rumored Podcast Subscription Service?

Apple is rumored to be building a podcast subscription service to bolster its spot as a leader in the podcast landscape, according to new reports. Earlier this year, Spotify showed its hand by reportedly surveying users about whether they would be interested in paying for a premium podcast plan. With Apple potentially going in the same direction, the two services could be competing with each other to see who can further monetize the podcast business most effectively.

Though they've technically been around for the better part of the past two decades, podcasts have soared in popularity in recent years. One of the likely reasons for this is how easy it is for anyone to start a podcast, and the fact that those with significant followings have found ways to monetize them. Joe Rogan, for instance, recently struck a deal with Spotify to bring the immensely popular Joe Rogan Experience podcast exclusively to the platform. Not long after the lucrative deal was announced, rumors about Spotify's potential podcast subscription began spreading. Now, it appears Apple may be after its own slice of podcast earnings.

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Bloomberg reports individuals familiar with Apple's plan have confirmed that the tech giant intends to launch a podcast subscription service in 2021. Apple has not officially commented and there aren't many other details about the subscription, such as what it might cost or what a subscription would include. However, if the rumors are true, it does shed more light on what the future of podcast consumption may look like. Whether it's on Spotify or Apple, users are likely to have to pay extra for some content.

Without any concrete details on what Apple or Spotify's potential podcast subscriptions would actually look like, one can argue that Spotify already has the clear advantage. After all, it already has the Joe Rogan Experience - which is widely regarded as one of the most popular podcasts in the world - locked into an exclusive deal. From that podcast alone, Spotify could expect to gather millions of subscriptions for a prospective podcast plan.

Apple does have its own original, exclusive podcast content, but it objectively doesn't have anything that comes close to Rogan. Don't count out Apple, though. The company already has a blueprint for establishing itself in an industry thanks to Apple TV+, the streaming service that has generated successful original content despite being overshadowed by Netflix. Apple has the resources to invest more in its own original podcasts, and even though Spotify may be the current front-runner, there's certainly a path back to the podium for Apple if it creates enough must-listen content.

Whichever company ends up on top of this future podcast subscription competition, podcast listeners will almost undoubtedly face new fees in order to listen to their favorite shows. However, it may not be all bad for listeners. A subscription service will prompt users to demand more from platforms in exchange for paying an additional price to listen. As a result, the likes of Spotify, Apple, and others will be encouraged to spend more on the content they are making available. Hopefully, this will translate to an improvement in overall quality. In a roundabout way, Apple and Spotify going head to head could end up having a positive impact on the podcast industry and the listener experience.

Next: What You Need to Start a Podcast

Source: Bloomberg



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