A display shows the emblem and buying and selling info for Spotify as a dealer works on the ground on the New York Inventory Trade (NYSE) in New York Metropolis, U.S., December 4, 2023.
Brendan Mcdermid | Reuters
Spotify shares jumped 6% Wednesday after a Bloomberg report stated the corporate will enhance 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 aware of the matter. The folks acquainted stated Spotify will increase month-to-month costs by the tip of April by about $1 to $2 in 5 markets together with the UK, Australia and Pakistan, in line with Bloomberg.
Bloomberg reported that the upper costs will assist the corporate cowl the prices of its audiobook service, which presents 15 hours of audiobook listening time monthly for subscribers.
Spotify can even launch a brand new fundamental subscription tier for $11 monthly, the identical value because the premium plan at present prices, Bloomberg reported. The essential tier will embrace music and podcasts, however not audiobooks, and shall be among the many first of a number of newly priced subscription plans that shall be launched, per the report.
Spotify declined to touch upon Bloomberg’s report.
Final 12 months, the audio firm raised costs by as a lot as $2 for its premium subscription in america and several other different nations. Spotify, which competes with streaming companies from Apple, Amazon and YouTube, has struggled to realize profitability through the years.
