And Spotify pays 70 percent of subscription and advertising fees to rightsholders. UMG, WMG, Sony Music and Music and Entertainment Rights Licensing Independent Network account for 75 percent all of record label audio streams on Spotify in 2022, the company noted in its annual report. The move will likely be welcome news to Spotify’s major label partners like Universal Music Group and Warner Music Group, which in turn benefit from increased monetization of streaming audio from their artist rosters. Yet the audio giant has been operating at a loss and has been looking for ways to cut costs amid what CFO Paul Vogel called in late April a “very modest underperformance in advertising” revenue in its first quarter of 2023. Spotify had 210 million global paying subscribers (a 15 percent increase year-over-year) and 515 million monthly active users as of March 31. “The market landscape has continued to evolve since we launched. So that we can keep innovating, we are changing our Premium prices across a number of markets around the world,” the company said in a statement. “These updates will help us continue to deliver value to fans and artists on our platform.”

Spotify Partners With Alex Cooper's The Unwell Network The price of Spotify’s Premium Duo plan will go up by $2 to $14.99 per month, while the Family plan and Student plans rise by $1 to $16.99 and $5.99, respectively. And Spotify’s move arrives days after YouTube Music also raised its price by $1 to $10.99 a month. The hike brings Spotify in line with rivals Apple Music ($10.99 a month) and Amazon Music ($10.99, though cheaper for Prime members), which both raised prices last year. In its latest attempt to boost revenue and cut losses, Spotify unveiled a widely telegraphed move to raise prices for its premium paying subscriber base.

Spotify family cost