Spotify is planning to lift subscription costs within the U.S. within the first quarter of subsequent yr, in keeping with a brand new report from the Monetary Occasions. The transfer will mark the streaming service’s first worth rise within the US since July 2024. The corporate lately raised costs in a number of different international locations, together with the U.Ok., Switzerland, and Australia.
A Spotify subscription at the moment prices $11.99 a month within the U.S. When the service first launched within the nation 14 years in the past, it value $9.99 monthly.
The report says JPMorgan analysts have estimated {that a} $1-per-month worth improve within the U.S. might improve Spotify’s annual income by about $500 million.
Moreover, main document labels have been urging Spotify and different music streaming platforms to lift subscription costs, arguing that charges haven’t saved tempo with inflation and stay low when in comparison with providers like Netflix.
The report comes a number of weeks after Spotify introduced that its founder, Daniel Ek, is stepping down as CEO. The corporate is changing Ek with two co-CEOs: Gustav Söderström, the present co-president and chief product and know-how officer at Spotify, and Alex Norström, co-president and chief enterprise officer.
