Spotify shares jump after US court ruling eases Apple App Store restrictions

Spotify stated on Friday that its US app update secured Apple’s permission to show pricing information and external payment links, days after a judge blocked the iPhone maker from charging commission on off-app purchases.

Shares of Spotify rose over 6% in early trading after a US federal court ruling cleared the way for the company to show clear pricing information and external purchase links in its iOS app — a major development in the long-running battle over Apple’s App Store rules.

Spotify spokesperson Jeanne Moran called the shift a long-awaited win:

“After nearly a decade, this will finally allow us to freely show clear pricing information and links to purchase, fostering transparency and choice for U.S. consumers.”

Background: Epic Games Lawsuit Forces Apple to Adjust

The change comes after US District Judge Yvonne Gonzalez Rogers ruled that Apple failed to comply with a prior court order related to an antitrust case brought by Epic Games, the maker of Fortnite. The court had previously directed Apple to allow developers to include alternative payment links — something Spotify had not been permitted to do until now.

While Apple plans to appeal, it has said it will comply with the ruling for now.

Analysts: A Pricing Game-Changer for Spotify

Jeffrey Wlodarczak, analyst at Pivotal Research Group, said the development is a “material win” for Spotify.

Previously, Spotify had to absorb the 30% App Store commission in its pricing structure, making it less competitive with Apple Music, which didn’t face the same cost burden.

The ruling could now level the playing field in the US streaming market, allowing Spotify to either lower prices or improve margins by directing users to subscribe outside of Apple’s ecosystem.

Spotify’s Strong Financial Momentum

The timing is favorable for Spotify, which reported its first annual profit in February, buoyed by:

• Strong user growth
• Price increases
• Operational cost reductions

The app update, submitted shortly before the ruling, aligns with Spotify’s long-running campaign for App Store reform, a cornerstone of its disputes with Apple.