Apple Music, which was launched about one month ago, has successfully acquired 11 million trial members for its services, says a report from USA Today, which cites company executives. The U.S. firm is offering the service on a three-month free trial period to subscribers.
Will Apple Music overtake Spotify?
Apple Music was launched June 30, and Apple is offering a monthly plan priced at $9.99 a month for an individual user and a family plan priced at $14.99 per month. The music service offers subscribers access to 30 million songs, human-curated playlists and a live radio station.
“We’re thrilled with the numbers so far,” Eddy Cue, Apple’s senior vice president of Internet software and services told. He further informed that the more lucrative family plan priced at $14.99 per month for up to 6 people, has been subscribed to by about 2 million people.
Spotify at present is the most-loved music streaming service and was launched about a decade ago. If we assume all the trial members of Apple’s service convert to paid memberships in the coming months, then the user count would be almost equal to half of Spotify’s paid memberships.
App Store hits record transactions
Besides this, another major achievement for Apple is the number of transactions made at the App Store, which touched $1.7 billion in July. This also indicates a substantial rise in the amount paid to app developers, which was $25 billion at the end of 2014 and is $33 billion now.
The rising numbers are in stark contrast to Apple’s stock, which has been on a downward trend lately. Apple stock is generally expected to perform well, but recently it has stumbled by 14% from the high of $134.54 it achieved on April 28. The reason being cited for the decline is that the company’s smartphone business has almost reached a level of saturation in the U.S. Apple is now targeting developing markets like India and China, but the fact that the number of competitors offering Android smartphones at reasonable prices in Asia is growing largely impacts the company’s dependability, and this has become the prime reason of concern for investors.