Apple Podcasts recent ‘ad-free in October’ promotion faces backlash

Apple Podcasts’ October ad-free campaign is facing backlash after it was revealed that publishers have not been compensated for the loss of advertising revenue.

Earlier this month, Apple launched its Series Essentials collection to “spotlight the pinnacle of podcasting, celebrating the finest storytelling” with each Series Essentials selection completely ad-free to attract new listeners to the platform.

Podcasts on Apple with over 5,000 monthly downloads earn an average of $1,600 per month in ad revenue alone

Recent reports have shown that, unlike paid podcast subscriptions or explicit opt-in ad removals, Apple has failed to offset the revenue loss for creators, which includes public radio outlets. Podcasts on Apple with over 5,000 monthly downloads earn an average of $1,600 per month in ad revenue alone.

Publishers must decide whether to take a gamble on the new promotion strategy to increase the take-up of paid subscriptions and risk losing steady ad income. Apple, however, will be unaffected by any ad revenue loss as they take a 30% commission on all paid subscriptions on the platform.

There are also concerns that this move could set a precedent with other platforms following suit or pose a risk to the sustainability of high-quality ad-supported shows.

I’m not sure you know that Apple Music will not be paying writers, producers, or artists for those three months. I find it to be shocking, disappointing, and completely unlike this historically progressive and generous company

Taylor Swift

Apple’s compensation model differs from other platforms. Amazon Music offers ad-free podcasts to Prime members and Amazon Music Unlimited subscribers through an agreement with Acast. Amazon Music purchased a large range of Acast-hosted shows on the Amazon Music platform, so ad-free listening results in revenue for creators.

Apple Podcasts’ controversy comes after Taylor Swift publicly condemned Apple for not paying artists during Apple Music’s three-month free trial period in 2015.

In an open letter to Apple, Swift wrote: “I’m not sure you know that Apple Music will not be paying writers, producers, or artists for those three months. I find it to be shocking, disappointing, and completely unlike this historically progressive and generous company.”

Within 24 hours of the post, Apple reversed its payment policy and said it would pay artists for music streamed during the trial period.

In response to the current backlash, Apple told Podnews: “Publishers are excited to be part of the [ad-free] campaign, since it offers additional visibility of their shows.”