Podcast Subscriptions from Apple and Spotify

I’ve discussed previously my concern over the ‘corporatization’ of the podcast space, and two events were announced in the last few days which are furthering this sense of concern.

Apple announced that it was going to start offering a subscription-based model for podcasters. On the surface, it sounds appealing. Have listeners pay to listen to certain ‘premium content’, and most of the money goes to the creator (Apple keeps 30% for the first year, and 15% thereafter). In Apple’s model, podcasters pay $19.99 USD per year to be able to take advantage of this monetization scheme. Yes, the creator has to pay for the ‘privilege’ of offering premium content.

It didn’t take long for Spotify to announce that they were going to offer something similar, but there would be no fees for creators, and Spotify will not be taking a percentage of the subscription fees. I’m not as familiar with Spotify’s arrangement yet, but as of this writing, that is my understanding. They are trying to set themselves up as a better alternative to Apple Podcasts.

This has been setting off some alarm bells in the independent podcasting community, and with good reason. Over the past year, the podcasting space has seen an incredible influx of podcasts hosted by celebrities, former politicians, musicians and athletes. With a pandemic shutting most entertainment industries down, I’m sure hosting a podcast is viewed as a way to stay in the public’s consciousness.

Independent podcasters have to work for every single listen, and one of the promises of podcasting, and what made it so appealing, was that it offered small creators an opportunity to get their voices heard on the same platforms as the bigger shows. When the first podcasts started appearing around 2006, the promise of a democratic internet seemed to be reflected in the space. Small shows back in those ‘wild west’ days often went on to become significant players in the podcasting world.

Take a look at Apple Podcasts or Spotify’s home pages, and notice what they are recommending. My concern, echoed by many smaller creators, is that this ‘corporatization’ is doing a lot to help out podcast networks and celebrity hosts, and very little to help small players. Money talks. However, podcast consumption has traditionally been free, which is one of the appeals of this medium.

As an independent creator, I am not in podcasting for the money. I don’t make a cent from my show, and I entered the podcasting world being fully aware of that. My co-host and I are simply passionate about putting out meaningful, high quality content. If the opportunity arises in the next few years to monetize from listener donations or sponsored advertisements, that is fine, but we are not doing this to collect a paycheque.

The moves from both Apple and Spotify signal a major shift away from the original vision of what podcasting was supposed to be. I suppose that has happened with the web in general, but I’m not convinced that this is going to be a good thing for the little guy.

Time will tell, and if I am proven wrong, I’ll be the first to admit it. In the meantime, I remain concerned and more than a bit skeptical about the two largest players in the podcasting space putting up paywalls like this. I hope I’m wrong!