The long awaited Spotify iPhone application has been submitted to Apple for approval and already several details have emerged:

– Ability to take your playlists with you
– Download songs or playlists to listen offline
– Search for new tracks
– Of course being an iPhone app, you can’t run it in the background while using other applications, a major annoyance for the multi-taskers.

But, what of pricing? It is likely to be available to premium users paying the £9.99 a month for the ad-free, higher quality version of the tracks. This pricing would be key in ensuring a rosy future for Spotify and indeed its competitors’ subscription services with the challenge of getting all those free users to upgrade (2m in Europe is the touted number).

The other big question that remains is whether Apple will approve it given the challenge to the iTunes music store. Early indications are that they will.

With no subscription available as yet in iTunes, will Spotify’s alternative be compelling and how might Apple themselves respond with a subscription service remaining only a rumour at present?

See it in action here: