economy
Spotify’s 3rd price hike in 2.5 years hints at potential new normal
Spotify claims the higher fees will help “benefit artists.”
TL;DR
- Spotify Premium monthly subscriptions are increasing from $12 to $13.
- Student, Duo, and Family plans are also becoming more expensive.
- The Basic plan remains unaffected.
- This is the third price increase for Spotify subscribers in approximately 2.5 years.
- Spotify attributes the hikes to investing in product features and innovation, benefiting artists.
- Recent feature additions include lossless audio, music videos, and new messaging features.
- The company reported paying $10 billion in music royalties in 2024.
- There are criticisms regarding artist royalties despite Spotify's claims.
- Spotify has faced user and musician boycotts in the past.
- The company reported double-digit year-over-year growth in subscribers and active users in its November quarterly earnings report.