As many streaming and subscription-based services continue to raise prices, Spotify is reportedly introducing new pricing plans for its loyal users.
on wednesday, bloomberg reported that the music streaming giant will increase prices (from $1 to $2 per month) in five international markets this month, including the UK, Australia and Pakistan, citing sources familiar with the matter.
Meanwhile, the U.S. hasn't seen an increase in customer numbers this month, but users based in the state can expect price hikes by the end of the year.
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The outlet reported that the increase in monthly subscription fees is expected to offset the cost of Spotify's audiobook feature, as Spotify must pay publishers to host their books on the platform.
Officials also claim that Spotify will offer a new cheaper monthly price tier, giving users access to music and podcasts for $11 per month (current premium plan price), but not audiobooks. He says he can't.
Spotify has traditionally offered two plans to its users. One is a paid premium option that allows you to listen without ads, and the other is a free option that allows listeners to see ads during the show.
Spotify has not publicly commented on the report.
The streaming giant had a strong fourth quarter of 2023, with monthly active users increasing by 28 million quarterly and premium users increasing by 31 million quarterly, for a total of 236 million worldwide.
Last July, Spotify raised the price for premium users by $1 in the US.
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“In order to continue to innovate, we are changing our premium pricing in many markets around the world,” the company said in a post at the time. “These updates will help us continue to deliver value to our fans and artists on our platform.”
Following the news Wednesday afternoon, Spotify rose more than 8.15% in 24 hours.