Music streamer Spotify hits 100 million users with 30 million paying for service

Music streamer Spotify hits 100 million users with 30 million paying for service
Streaming music provider Spotify announced today that it has 100 million subscribers. That is up 33% from the previous count of 75 million. Even with the competition from Apple Music, Spotify has been able to increase its head count. 30 million subscribers are paying $9.99 a month for the premium version of Spotify. The vast majority of listeners are subscribed to the free tier, which is supported by paid advertising.

At last count back in April, Apple Music reported that it had 13 million subscribers. Unlike Spotify, Apple does not offer a free tier of service backed by ads. Instead, Apple gives first time users a free three month trial before they have to start paying for a subscription. A month of Apple Music is $9.99 ($4.99 for students). Families with up to six members can sign up for $14.99.

Because 80% of all money coming into Spotify gets paid out as royalties to artists, labels and producers, the company has yet to earn a profit since its launch in 2006. Last year it reported an operating loss of $209 million, up from the $186.8 million operating loss it reported in 2014. As if Spotify needs more competition, Amazon recently announced that it will start a similar music streaming service that will be priced competitively.

source: Reuters (via Venture Beat)

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12 Comments

1. kiko007

Posts: 7493; Member since: Feb 17, 2016

No wonder you can't turn a profit....70% percent of your users don't pay for anything! What did they think was gonna happen when you offer free listening tiers and don't get exclusives like the competition? Spotify....you don't have anyway to generate sales outside of streaming music....SO DON'T OFFER IT FREE.

2. TechieXP1696

Posts: 32; Member since: Jun 19, 2016

Samsung's Milk has over 500 million subscribers worldwide. It is the premiere music streaming service because Samsung took it over whipped it into shape. Samsung is the best, they can make anything great. People ask me, who is the best? And I tell them, "it's Samsung." These people are my friends, they're my very good friends. One of my best friends is Choi Gee-sung, believe it.

4. Plasticsh1t

Posts: 3106; Member since: Sep 01, 2014

What?!

5. KetchupsMustard

Posts: 28; Member since: Dec 18, 2014

Believe it? You are BFF with according to Wikipedia, the President and Chief Executive of the digital media division at Samsung Electronics?

8. JoshN

Posts: 202; Member since: Apr 01, 2015

Are you the same Techie or a fraud???

9. andynaija

Posts: 1259; Member since: Sep 08, 2012

Definitely a fraud.

13. Coconut00

Posts: 485; Member since: Jan 13, 2015

14 posts lol

10. andynaija

Posts: 1259; Member since: Sep 08, 2012

I knew something was wrong with this post while I was reading it. I can definitely getting see you getting banned soon for impersonating another user on here.

3. Plasticsh1t

Posts: 3106; Member since: Sep 01, 2014

I wish it's available in my country.

6. Lauticol

Posts: 404; Member since: Jun 25, 2011

In my country Spotify Premium it's $4 for a family plan (up to 5 members). For that price, I can't find any cons.

14. mawi2013

Posts: 67; Member since: Oct 18, 2014

what countrys that?

7. JoshN

Posts: 202; Member since: Apr 01, 2015

Happy Spotify Premium Customer as in New Zealand all Spark Phone Plans come with FREE Spotify Premium ☺

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