Spotify To Raise The Price of Subscriptions for US Users, CEO Daniel Ek says
And More ı By Rochdi Rais
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Spotify CEO Daniel Ek said on Tuesday he would like to hike the price of subscriptions for users in the US.
Ek's comments came after Spotify posted its third-quarter earnings, reporting increases in active users and paid subscribers, as well as a better-than-expected surge in revenue.
"Mostly to the US-based price increases, it is one of the things that we would like to do, and this is a conversation we will have in light of these recent developments with our label partners," Ek said during the earnings call on Tuesday.
Since its creation in 2011, Spotify has charged $9.99 for its individual premium subscription and $15.99 for a family plan.
The audio streaming platform’s CEO said that when Spotify's competitors increase their prices, it's good for the firm. He added that Spotify had raised prices in more than 46 markets around the world.
Ek said he felt "really good" about this upcoming year and "what that means in pricing in relation to our service."
In an interview with The Wall Street Journal, Ek said subscription price increases should be expected in 2023. It is unclear how much prices will jump.
The comments on future price increases come a day after Apple hiked the cost of its music and video streaming services for individuals from $9.99 per month to $10.99, and the family plan from $14.99 to $16.99 per month, CNN reported. YouTube also recently raised its premium family subscription from $17.99 per month to $22.99, per TechCrunch.
Ek also took to Twitter on Tuesday, accusing Apple of putting competitors at a disadvantage. Elon Musk replied to his tweet and suggested Apple's approach was "concerning." It comes amid Spotify and Apple's long-running dispute over the iPhone maker's App Store rules.
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