Spotify plans to extend subscription costs within the US within the first quarter of subsequent yr, in accordance with a brand new report from Spotify. financial times. This transfer marks the streaming service’s first worth improve within the U.S. since July 2024. The corporate lately raised costs in a number of different international locations, together with the UK, Switzerland and Australia.
Spotify subscriptions at the moment price $11.99 monthly within the US, in comparison with $9.99 monthly when the service first launched on this nation 14 years in the past.
JPMorgan analysts estimate {that a} $1 month-to-month worth improve within the U.S. might add about $500 million to Spotify’s annual income, in accordance with the report.
Moreover, main document labels are urging Spotify and different music streaming platforms to extend subscription costs, arguing that costs haven’t stored up with inflation and stay low in comparison with companies like Netflix.
The report comes weeks after Spotify introduced that founder Daniel Ek would step down as CEO. The corporate will substitute Ek with two co-CEOs: Gustav Söderström, Spotify’s present co-president and chief product and know-how officer, and Alex Norström, Spotify’s co-president and chief enterprise officer.
