Source of this article and featured image is TechCrunch. Description and key fact are generated by Codevision AI system.

Spotify is set to increase U.S. subscription fees in the first quarter of next year, as reported by Financial Times. This marks the first price hike in the U.S. since July 2024, following similar adjustments in the U.K., Switzerland, and Australia. Current U.S. pricing stands at $11.99 per month, up from $9.99 when the service launched 14 years ago. Analysts estimate a $1 monthly increase could add $500 million to annual revenue. Industry stakeholders, including major music labels, are advocating for higher prices to align with inflation rates and competitive pricing models.

Key facts

  • Spotify plans to raise U.S. subscription prices in Q1 2024, per Financial Times.
  • The U.S. price increase follows earlier hikes in the U.K., Switzerland, and Australia.
  • Current U.S. subscription costs $11.99/month, up from $9.99 at launch.
  • A $1 monthly raise could boost Spotify’s annual revenue by $500 million.
  • Music labels are pushing for higher prices to reflect inflation and market parity.
See article on TechCrunch
TAGS: #Financial Times  #inflation  #music industry  #price increase  #revenue growth  #Spotify  #Streaming Services  #TechCrunch