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Apple Music is getting a price hike

Jul 18, 2026  Twila Rosenbaum  15 views
Apple Music is getting a price hike

Apple Music has become more expensive for subscribers in the United States and several other countries, marking the service's first price increase since October 2022. The changes, announced on July 17, 2026, affect individual, family, and student plans, as well as some Apple One bundles.

In the US, the individual Apple Music plan now costs $11.99 per month, a $1 increase from the previous $10.99 price. The family plan, which allows up to six people to share a subscription, has jumped from $16.99 to $19.99 per month – a $3 increase. Meanwhile, the student plan has risen from $5.99 to $6.99 per month. Apple attributed the hikes to rising licensing costs in a statement to Music Business Worldwide, noting that the company must pay higher fees to record labels and publishers to offer its vast catalog of over 100 million songs.

Apple Music first launched in June 2015, entering a competitive streaming market already dominated by Spotify. Over the years, Apple has gradually refined its platform, adding features like lossless audio, spatial audio with Dolby Atmos, and curated radio stations. Despite these enhancements, the service has faced intense competition from Spotify, Amazon Music, and YouTube Music. The last price increase occurred in October 2022, when Apple raised the individual plan from $9.99 to $10.99 and the family plan from $14.99 to $16.99 – increases that were accompanied by similar hikes for Apple TV Plus and Apple One.

The current round of price adjustments is not limited to the US. According to Music Business Worldwide, prices have also gone up in the United Kingdom and European markets, and the publication understands that increases are rolling out in other regions as well. Apple has not yet confirmed the full list of affected countries. In the UK, for example, the individual Apple Music plan reportedly increased from £10.99 to £11.99 per month, while the family plan went from £16.99 to £19.99. These changes reflect a broader trend across the music streaming industry, where licensing costs continue to climb as record labels demand higher royalties.

The rise in Apple Music prices comes shortly after Spotify increased its US Premium subscription fees. In 2025, Spotify raised its individual plan from $10.99 to $11.99 per month, and in 2026, it hiked the premium plan further to $12.99 per month. Spotify's family plan also saw an increase, moving from $16.99 to $19.99 per month. This pattern suggests that both major players are facing similar cost pressures and are passing them on to consumers. Apple's and Spotify's shared pricing strategy highlights the delicate balance between maintaining profitability and retaining subscribers in a market where users have many alternatives.

Apple has also raised the prices of some Apple One bundles, as reported by MacMagazine. Apple One bundles multiple Apple services – including Music, TV Plus, Arcade, iCloud+, and News+ – into a single subscription. The Family plan, which previously cost $25.95 per month, now costs $27.95 per month – an increase of $2. The Premier plan, the top-tier bundle that adds Fitness+ and extra iCloud storage, has risen from $37.95 to $39.95 per month. The individual Apple One plan remains unchanged at $19.95 per month. These adjustments mean that subscribers who bundle services are seeing smaller percentage increases compared to standalone Apple Music subscribers, but the cumulative cost is still rising.

The price hikes are expected to generate significant additional revenue for Apple. With over 88 million Apple Music subscribers globally as of early 2026, even a $1 increase can translate into hundreds of millions of dollars annually. However, the company risks driving some price-sensitive users toward free ad-supported tiers or competing services. Spotify, for instance, offers a free tier with ads and limited skips, while Amazon Music includes a basic subscription with Prime membership. Apple Music does not have a permanent free tier, though it offers a one-month free trial for new users and a free version through Shazam with limited functionality.

In the broader music industry, CD sales have seen a surprising resurgence. According to recent data from the Recording Industry Association of America (RIAA), CD sales in the US grew by 10% in 2025, a rare uptick after years of decline. Some analysts attribute this to younger listeners embracing physical media for its tactile experience and collectibility. Vinyl sales have also remained strong, though streaming still accounts for over 80% of music revenue. The coexistence of streaming price hikes and rising CD sales suggests that consumers are becoming more selective about their digital subscriptions and may be willing to invest in physical albums that offer a perceived sense of ownership.

Apple's decision to raise prices could also affect its broader ecosystem play. Apple Music is deeply integrated with the iPhone, iPad, Apple Watch, HomePod, and CarPlay – making it a sticky service for existing Apple hardware users. However, as competition intensifies from platforms like Spotify, which has invested heavily in podcasting and audiobooks, Apple must continually justify its value proposition. The company has recently introduced features such as collaborative playlists, a karaoke mode called Apple Music Sing, and enhanced discovery algorithms. But with the new pricing, some users may question whether these features are worth the extra cost.

Historically, Apple has been cautious about raising prices on its services. The company's services segment has grown to become a major profit driver, generating over $80 billion in annual revenue by 2026. Services now contribute nearly 25% of Apple's total revenue, and margins on services are significantly higher than on hardware. This financial incentive encourages Apple to find ways to increase average revenue per user, and price hikes are one of the most direct levers. However, the company must be careful not to alienate its user base, particularly students and families who may be more price-sensitive.

Industry analysts predict that further price increases may be on the horizon. Licensing costs for music royalties are set to rise again in upcoming negotiations with major labels such as Universal Music Group, Sony Music Entertainment, and Warner Music Group. These labels have been pushing for higher per-stream rates, and streaming services have limited ability to push back without risking losing access to popular catalogs. As a result, consumers can expect similar hikes every one to two years. Additionally, the transition to higher-quality audio formats like lossless and spatial audio requires more bandwidth and server costs, which are also being passed on to subscribers.

For students, the Apple Music price increase is particularly notable. At $6.99 per month, the student plan is still significantly cheaper than the individual plan, but the $1 increase places it above the previous $5.99 threshold that many students found reasonable. Apple also offers Apple Music through university partnerships in some regions, but these deals vary. Students may now consider sharing a family plan with friends or roommates, as the family plan offers access for up to six people at $19.99 per month – roughly $3.33 per person. This option becomes even more attractive if those users already use other Apple services that can be bundled.

The price hikes also come amid a broader shift in the streaming landscape. Netflix, Disney+, and other video streaming services have raised prices multiple times in recent years, and now it is music's turn. This trend suggests that the era of low-cost, all-you-can-eat subscriptions is giving way to a more expensive reality where consumers must pick and choose their services more carefully. For many households, the combined cost of multiple streaming subscriptions – music, video, cloud storage, news, and fitness – can exceed $100 per month. Apple One is designed to capture more of that spending within Apple's ecosystem, but its price increases may prompt users to evaluate their overall subscription budgets.

Apple's statement to Music Business Worldwide emphasizes that the price increase is a direct consequence of rising licensing costs. The company did not provide specifics about which licensing agreements have changed, but the music industry has seen a series of contractual renegotiations in 2025 and 2026. Labels have been demanding higher royalties from streaming services, arguing that the current rates undervalue their catalogs. At the same time, streaming services have been trying to improve margins by cutting costs elsewhere, such as reducing spending on exclusive content or marketing. The result is a tug-of-war that ultimately affects the end user's wallet.

In Europe, price increases may also be influenced by regulatory changes. The European Union's Digital Services Act and Digital Markets Act have imposed new obligations on large platforms, including Apple. While these regulations primarily target antitrust and content moderation, they also create compliance costs that may be passed on to subscribers. Additionally, some European countries have implemented digital services taxes or VAT changes that affect subscription pricing. Apple has historically adjusted prices in different regions to account for local taxes and currency fluctuations, which could explain why some countries see higher increases than others.

Overall, the Apple Music price hike is a significant development for millions of users. Those who have been paying $10.99 for years may feel the sting of the $1 increase, while families sharing a plan face a more substantial $3 jump. The simultaneous increases to Apple One bundles mean that even users who bundle their services are not immune. As the music streaming industry matures, price increases are likely to become more frequent and more substantial, mirroring the trajectory of other digital media sectors. For now, subscribers must decide whether to accept the new costs, switch to a competitor, or explore alternative listening options such as radio or physical media.


Source: The Verge News


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