Apple Music Increasing Subscription Prices Due to ‘Rising Licensing Costs’

Apple Music Increasing Subscription Prices Due to ‘Rising Licensing Costs’

Apple Music has implemented a global increase in subscription prices effective July 17, 2026. The company cited rising licensing costs as the driver for the adjustments, marking the first price hike for the music streaming service since October 2022.

In the United States, the Individual plan has risen to $11.99 per month from $10.99. The Family plan increased by $3, moving from $16.99 to $19.99, while the Student plan rose from $5.99 to $6.99. New subscribers are charged the new rates immediately, and existing users will be moved to the updated pricing at their next billing cycle following notification from Apple.

The pricing changes extend to other major markets. In the UK, the Individual plan is now £11.99 (up from £10.99) and the Family plan is £19.99 (up from £16.99). In Europe, the Individual plan rose to €11.99 from €10.99, the Family plan rose to €19.99 from €16.99, and the Student plan is now €6.99.

Impact on Apple One Bundles

The price adjustments also affected several Apple One bundles, which package music with other services like Apple Arcade, Apple TV, and iCloud+. The basic Individual bundle remains unchanged at $19.95 per month. However, higher-level tiers saw increases of $2: the Family tier is now $27.95 and the Premier plan is $39.95.

One notable exception is the Student subscription. Despite the $1 increase to $6.99, it continues to include free access to Apple TV, a service that typically costs $12.99 per month.

Industry Context and Competition

Apple Music launched in June 2015 at $9.99 per month in the US, maintaining that price for seven years before a 2022 increase. That previous hike was also attributed to an increase in licensing costs, with Apple stating then that artists and songwriters would earn more for their music.

The latest move follows a pattern of price increases across the streaming industry. Rival Spotify implemented a US price rise in early 2026, bringing its Individual plan to $12.99 and its Family plan to $21.99. This means Apple Music’s new $11.99 Individual price remains $1 lower than Spotify’s. Other competitors include Amazon Music, which offers a non-Prime Individual rate of $12.99 and a Family plan at $21.99, and Pandora, which charges $10.99 for Individual and $17.99 for Family plans.

Major record companies have pressured streaming services to raise fees, arguing that prices have not kept pace with inflation and are low compared to video services like Netflix. This disparity was highlighted last year when Apple raised the price of Apple TV+ to $12.99 while Apple Music remained at $10.99.

Strategic Shifts and Market Reach

The global music-subscription market neared 1 billion subscribers by the end of 2025, reaching 921.6 million. While Spotify is the largest service worldwide, Apple Music has sought to deliver a premium experience with features such as Spatial Audio, lossless tracks, Apple Music Sing, and a dedicated classical music app available at no extra cost.

Spotify has consistently signaled that regular pricing adjustments are a strategic priority for sustained profitability. During a recent Q3 earnings call, Co-CEO Alex Norström noted steady retention rates following price increases across more than 150 markets.

"We… saw steady retention rates following the rollout of our recent price increases across more than 150 markets. These results show the power of the product and the loyalty of our subscribers,"

Alex Norström, Co-Chief Executive Officer, via Music Business Worldwide

Apple's shift toward services is a long-term strategy; these services now generate more than 20% of the company's revenue. According to Eddy Cue, senior vice president of services, Apple Music reached all-time highs in new subscribers and listenership in December 2025.

The pricing recalibration comes amid broader volatility in Apple's pricing, following recent increases for Mac, iPad, and Apple TV hardware. Looking forward, evidence from late May suggests possible new subscription tiers may be coming to Apple Music, while Spotify is reportedly pursuing "Super-Premium" AI-heavy ambitions.