Spotify are still the king of streaming and reminded everyone yesterday when they revealed that they now have over 70 million subscribers.
Spotify have announced 70 million subscribers, only 4 months since they announced 60 million subscribers. At the time, in August, Spotify said they were gaining 2 million subscribers a month but this latest statistic suggests growth may still be increasing for the monumentally popular music streaming service.
At least 70 million people around the world are now signed up to pay for music streaming, and more than that are still using the streamer’s free tier. Spotify have been working recently to convert their massive free user-base to paying subscribers and it seems to be working slowly but surely. Whereas a few years ago Spotify’s ad-supported tier dominated the number of paid and free users are getting close to level.
In June of last year Spotify said that they had 140 million total active users. Growth of their paid streaming has seen much more significant growth than their free platform thanks to multiple promotions and the introduction of certain exclusive content on Premium.
Last year Spotify finally cemented some longer term deals with the major labels after conflict over their royalty rates. The major labels came to an agreement in which Spotify will make certain releases Premium-only upon release in return for higher royalty rates, which Spotify hope may lead them towards profitability at last.
Spotify have been moving towards an IPO (Independent Public Offering) for a long time and with new label deals this could finally be the year in which they manage it.