Spotify just released its latest user numbers, and although the company still has a hard time turning a profit, it’s growing at a pretty fast rate. The company stated that it now has 217 million worldwide users, and over 100 million of them are paying Premium tier members. The company becomes the first music streaming service to break the 100 million paid subscriber mark.
The last number represents a 32% increase over last year. Spotify attributes the growth to the success of its Family Plan, which allows up to 5 family members to be on the same account for a reduced price of $14.99 per month. There’s a downside though, as that means that the critical average revenue per user (ARPU) actually declined by 2%, which is not something that the company, or Wall Street, wants to see.
Spotify is now in 79 countries around the world, with its most recent expansion into India. Despite a population of of nearly 1.4 billion people, the company only added 2 million Indian users to its roles. Plus it has plenty of problems with copyright infringement suits from both Warner Music and the large Indian label Saregama (which resulted in its entire catalog being pulled) for not obtaining the proper licenses before launching. It looks like the Asia might not be as easy to break as the company originally thought.
On another more depressing note for indie musicians, Spotify also announced that it’s adding 40,000 new tracks every day! It now has a total of over 60 million. 50,000 new podcasts have also recently been submitted. Is it any wonder that it’s so easy to get lost in all the competition?
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