Apple Music first launched in 2015 as a music streaming service, offering subscribers access to over 30 million songs in the Apple Music catalog. Unlike competitors like Spotify, Apple Music also originally allowed users to purchase individual songs and albums to own, similar to iTunes. However, in 2020 Apple made the decision to shift Apple Music to a streaming-only model, removing the ability for users to buy songs and build a permanent library.
This change meant that Apple Music users could now only access songs through a streaming subscription. Any music they wanted to permanently own would need to be purchased separately from other providers like Spotify or Amazon Music. Apple’s decision marked a major shift for the company and the future of digital music ownership.
The Rise of Music Streaming
In recent years, revenues from music streaming services have skyrocketed while sales of digital music downloads have plummeted. According to research from Statista, the global video streaming market is projected to grow by 8.27% between 2024-2027, resulting in a market volume of $137.7 billion in 2027 (Statista). In contrast, revenues from digital downloads fell significantly, with digital track sales in the U.S. dropping from $2.8 billion in 2015 to just $923 million in 2019 according to the Recording Industry Association of America.
This shift reflects changing user preferences, with consumers now favoring access over ownership. The convenience of being able to stream tens of millions of songs on-demand has made music streaming services like Spotify, Apple Music, and Amazon Music incredibly popular. A survey by Midia Research found that 61% of people now believe access is more important than owning music. As a result, streaming has become the dominant form of music consumption while digital downloads and physical media sales continue to decline.
Apple’s Shift to Streaming
In June 2015, Apple launched its Apple Music streaming service to position it as an evolution of iTunes and shift the company’s focus to music subscriptions over song sales. Apple announced Apple Music in a press release, saying it would be “All The Ways You Love Music, All in One Place” and available in over 100 countries starting on June 30, 2015 (https://www.apple.com/newsroom/2015/06/08Introducing-Apple-Music-All-The-Ways-You-Love-Music-All-in-One-Place-/).
With Apple Music, Apple clearly aimed to pivot its music business towards a streaming subscription model and away from digital music purchases through iTunes. The service launched with key features like curated playlists, live global radio, and integrations with iOS and the Apple ecosystem to drive subscriber growth.
The End of Purchases on Apple Music
In April 2019, Apple announced that it would stop allowing purchases of individual songs and albums on Apple Music, moving the service to a streaming-only model [1]. This meant that users would no longer be able to buy and download songs and albums to own permanently.
Previously, Apple Music had allowed both streaming, where users could listen to any song in Apple’s catalog but not permanently download them, and purchases, where users could buy and download songs and albums to keep forever, similar to iTunes. But with the change in 2019, Apple Music became solely focused on streaming.
This shift to a streaming-only service aligned Apple Music with competitors like Spotify, which have always been streaming-centric. It also reflected changing listener behavior and the dominance of streaming in the music industry. With users increasingly streaming music on-demand rather than buying it, Apple decided purchases no longer made sense for its music service.
Why Apple Made This Change
Apple’s decision to remove the ability to purchase songs on Apple Music aligns with broader market trends toward music streaming rather than individual song or album purchases. Most other major music services like Spotify and YouTube Music do not offer permanent music downloads anymore. Apple is following suit by shifting its focus to growing its Apple Music subscription base rather than selling downloads on iTunes.
From a financial perspective, Apple has a strong incentive to encourage users to subscribe to Apple Music rather than buy individual songs or albums. A streaming subscription provides recurring revenue for Apple every month or year, whereas a one-time purchase does not. According to a post on Apple’s forums, Apple likely determined that the revenue opportunity from growing subscribers outweighed continuing to sell music purchases à la carte. This change allows Apple to consolidate focus on its streaming service.
Impact on the Music Industry
The rise of music streaming has dramatically shifted the revenue model of the music industry. Whereas most revenue used to come from the sale of physical albums and digital downloads, now streaming makes up the majority of industry revenue. According to the RIAA, streaming revenue accounted for 83% of the industry’s total revenue in 2021, while physical sales made up only 9%.
This shift to streaming has created challenges for smaller and independent artists. With streaming, revenue is proportional to the number of total streams across all songs. Bigger artists with large catalogs generate far more streams and revenue compared to less popular artists. Smaller artists now struggle to earn enough from streaming royalties alone to sustain a career. A 2021 study found that the top 1% of artists generate 90% of streams. Many independent musicians have voiced concerns that streaming’s payout structure unfairly benefits mainstream pop stars.
Sources:
https://www.forbes.com/sites/joshwilson/2022/09/14/the-age-of-digital-music-executive-reacts-to-the-impact-of-digitalization-in-the-music-industry/
https://medium.com/radiosparx/a-look-back-on-2021-how-streaming-changed-the-music-industry-during-the-pandemic-what-next-6609acb37dea
Impact on Apple Music Users
The biggest impact on Apple Music users is that they can no longer purchase and own songs through the service. Previously, users could buy songs à la carte to download and keep forever, even without an Apple Music subscription. However, Apple removed the ability to buy music in 2019 as part of its shift to a streaming-only model.
This means any music acquired through Apple Music is now only available through a monthly subscription. If users cancel their subscriptions, they lose access to all the songs they’ve downloaded or saved in their libraries. The only music they’ll retain is content purchased separately through iTunes before Apple Music launched. So users have lost the ability to grow permanent music collections through Apple Music purchases.
Some users are frustrated because they enjoyed owning specific albums or songs, versus renting access to Apple’s full catalog. While streaming opens up more listening options, it provides less consumer ownership and permanence. Additionally, if users later cancel Apple Music, they may lose access to playlists, recommendations, and other data the service generated.
Alternatives for Purchasing Music
Although Apple Music no longer offers music purchases, there are still some alternatives for buyers who want to own their music files. The most direct option is to continue using the iTunes Store, which still sells MP3s and other digital music files. According to CNET (https://www.cnet.com/tech/home-entertainment/best-sites-to-buy-mp3-and-digital-music-you-own-forever/), iTunes offers the largest catalog of music available for purchase.
Other stores like Amazon Music (https://www.amazon.com/MP3-Music-Download/b?ie=UTF8&node=163856011) also sell digital music files. Amazon’s MP3 store offers millions of songs and albums to purchase and download. Users can then play the files on a variety of devices. However, Amazon’s catalog is not as extensive as iTunes.
While the options for buying digital music files are now more limited, services like iTunes and Amazon Music still cater to those looking to own their music library. But streaming services have clearly become the dominant model for music consumption.
The Future of Music Ownership
The rise of NFTs (non-fungible tokens) and blockchain technology is poised to transform music ownership in the coming years. NFTs allow artists to sell limited edition digital assets directly to fans, establishing verified ownership and enabling musicians to benefit from secondary sales. This has the potential to shift more power and revenue back to creators.
As reported, NFTs “promise to restore proper attribution and compensation to musicians after decades of technology-imposed challenges.” Rather than relinquishing ownership rights to platforms, artists can leverage NFTs to monetize their work while retaining control.
NFTs also facilitate new models like fractionalized ownership, where fans can own shares of a song. This opens up revenue streams beyond just the initial sale. Some envision a future where NFTs power a whole new peer-to-peer music marketplace connecting artists directly with supporters.
While still emerging, NFTs represent an opportunity to reinvent digital music ownership. Blockchain-verified assets could enable fair compensation, fan engagement, and independence for artists going forward.
Conclusion
In summary, Apple made the decision to stop selling individual songs and albums on its Apple Music streaming platform. While users can still access over 90 million songs through their Apple Music subscriptions, they no longer have the ability to permanently own songs by purchasing downloads.
This shift away from digital purchases is indicative of a larger trend in the music industry towards access-based streaming models rather than individual ownership. While streaming provides convenience and access, it also takes away users’ ability to manage their own music libraries. However, Apple’s move is likely irreversible as the economics clearly favor subscription streaming.
Going forward, music listeners will have to accept that buying and owning music is becoming a thing of the past. The rise of streaming platforms like Spotify, Apple Music, and Amazon Music Unlimited has made purchasing downloads feel obsolete for many consumers. While users can still buy music on other platforms like Amazon or purchase used digital music files, streaming will likely be the dominant model for how most people listen to music.