Spotify has raised costs for its premium plans in a number of international locations, together with the US, UK and Australia, because the music streaming firm seems to be to spice up earnings in an unsure economic system.
Monday’s transfer will lead to a $1-a-month value improve for Spotify’s US plans, with the premium single now beginning at $10.99, couple at $14.99, household at $16.99 and pupil plan at $5.99.
Spotify has moved in latest months to extend margins Hundreds of layoffs And the revival of the podcast unit, which he constructed with a multibillion-dollar funding.
The value hike comes at a time when streaming companies, each audio and video, are below growing investor strain to spice up earnings after years of prioritizing consumer progress.
Rival companies from Apple and Amazon.com and Tidal have raised costs this yr, whereas YouTube additionally raised costs final week on its month-to-month and annual premium plans within the US for the primary time because the subscription service launched in 2018.
Spotify, which indicated in April that it could increase costs in 2023, additionally raised costs in 46 international locations final yr.
The Swedish-based firm experiences its outcomes for the second quarter on Tuesday.
In January, the streaming large mentioned it was slicing 600 jobs, or 6 p.c of its workforce, acknowledging that it had grown too rapidly through the coronavirus pandemic. Co-founder and chief government Daniel Eck mentioned he was “very enthusiastic about investing forward of our income progress.”
The streaming large paid $100m (£73m) in 2020 for an unique licensing take care of Joe Rogan, whose podcast has hundreds of thousands of listeners. It additionally paid $25 million for an unique podcasting take care of Michelle and Barack Obama in 2019, a deal that Ended last year.
And it reported $20 million in 2020 for its take care of the media group run by Prince Harry and his spouse Meghan, Duchess of Sussex. End by mutual consent Later in June the duo simply produced a sequence for Spotify below their Archivale Audio manufacturing firm.
Reuters contributed to this report
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