The Spotify brand is displayed on a display on the ground of the New York Stock Exchange in New York City, Dec. 4, 2023.
Brendan Mcdermid | Reuters
Spotify shares jumped 6% on Wednesday after a Bloomberg report mentioned the corporate will improve costs for its premium subscription service in a number of markets, together with the U.S., for the second time in a 12 months.
The Swedish music-streaming firm will hike costs within the U.S. later this 12 months, Bloomberg reported Wednesday, citing folks accustomed to the matter. The folks acquainted mentioned Spotify will increase month-to-month costs by the top of April by about $1 to $2 in 5 markets together with the United Kingdom, Australia and Pakistan, based on Bloomberg.
Bloomberg reported that the upper costs will assist the corporate cowl the prices of its audiobook service, which gives 15 hours of audiobook listening time per thirty days for subscribers.
Spotify can even launch a brand new primary subscription tier for $11 per thirty days, the identical value because the premium plan at the moment prices, Bloomberg reported. The primary tier will embody music and podcasts, however not audiobooks, and will probably be among the many first of a number of newly priced subscription plans that will probably be launched, per the report.
Spotify declined to touch upon Bloomberg’s report.
Last 12 months, the audio firm raised costs by as a lot as $2 for its premium subscription within the United States and a number of other different international locations. Spotify, which competes with streaming companies from Apple, Amazon and YouTube, has struggled to realize profitability through the years.
https://www.cnbc.com/2024/04/03/spotify-plans-to-raise-prices-report.html
