Is YouTube catching up to Spotify as the top music platform?
YouTube’s global head of music is confident that YouTube will overtake Spotify as top partner and revenue maker.
YouTube has reached a major milestone, announcing that its Music and Premium services now have 125 million paid subscribers. This impressive growth reinforces its ambition to become the biggest source of revenue for the music industry. But how close is YouTube to overtaking Spotify?
Lyor Cohen, YouTube’s Global Head of Music, set a bold goal in 2022 for the platform to become the top revenue generator for the music industry by 2025. However, in a recent conversation with MBW, he admitted, “I can’t predict that. I did say by 2025. That’s obviously not going to happen.” Despite missing this target, Cohen remains confident that YouTube will eventually surpass Spotify, saying, “We are not going to stop until we become the number one revenue source, not just the best partner.” Cohen compared YouTube’s progress to the classic fable of the tortoise and the hare, suggesting that while Spotify may seem ahead now, YouTube’s steady approach will ultimately win the race.
One of YouTube’s biggest advantages over Spotify is its video content. Cohen believes music videos are due for a resurgence and sees them as a crucial part of breaking new artists. The platform is also focusing on engaging superfans by developing new features tailored to dedicated music listeners.
For independent musicians, YouTube’s growth presents exciting opportunities. The platform’s commitment to increasing artist payouts and enhancing engagement tools could provide new ways to monetise music. YouTube’s efforts to refine its music experience may also help artists reach larger audiences and build stronger fan communities.
This growth of YouTube’s presents potential for exciting opportunities for independent artists. The platform is aiming to refine its music experience to help artists reach larger audiences and build stronger fan communities. Cohen explained, “We have a long vision. We’re committed to building products that the fans really care for and where fans are, that’s where you’ll find the music industry and the artists.” This comes shortly after rumours surfaced of Spotify launching a “Music Pro” tier designed to cater specifically to superfans.
While YouTube won’t overtake Spotify in 2025, its continued investment in music features and its large user base suggest it remains a strong contender for the top spot. Independent musicians should keep an eye on how these developments unfold, as they could shape the future of music streaming revenue. That’ll be easy to do if you check the RouteNote blog regularly, as we’ll be covering everything YouTube Music, Spotify and more.