Spotify is planning to raise subscription prices in the United States during the first quarter of 2025, the Financial Times reports.
A US Spotify subscription currently costs $11.99 monthly, $2 more than the $9.99 price point when the service launched domestically 14 years ago.
Spotify announced price increases in August for premium subscribers in multiple markets across South Asia, the Middle East, Africa, Europe, Latin America and the Asia-Pacific region. Now the streaming giant is reportedly bringing those increases to its largest market as it works to demonstrate consistent profitability to Wall Street in the wake of the news that co-founder and CEO Daniel Ek is stepping down.
Newly appointed co-Presidents Alex Norström and Gustav Söderström, who will take the helm in Q1 2026, have been vocal about their ambitious vision for the future of the world’s most dominant music streaming service. Speaking during Spotify’s leadership update call at the end of September, Norström said it’s “not unimaginable that we’ll be at 10%, 15%” of the world’s population paying for Spotify Premium someday.”
Whether or not they can convert one in every seven people on Earth into a Spotify subscriber remains to be seen, but a US price increase stands as a critical boon to Spotify’s stock. Shares went up by 14.93% over the past year, but fell by 8.29% over the past month, per Benzinga.
According to FT, JPMorgan estimates that a $1 monthly increase could add $500 million to Spotify’s annual revenue. However, the company has not yet announced the exact figure of the impending price hike at the time of this writing.
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