Spotify plans to raise prices later this year: report
Listening to Spotify could get more expensive for some users this year.
The cost of Spotify Premium subscriptions in the U.S. will rise later in the year, Bloomberg reported Wednesday, citing people familiar with the matter.
Premium users in the U.K., Australia, Pakistan and two other markets will see the price increase go into effect, according to the outlet. It will reportedly roll out by the end of the month in those markets.
Spotify will implement a roughly $1-per-month hike for individual subscriptions in the affected markets, Bloomberg reported. Users with duo and family memberships will reportedly have to pay $2 more per month.
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The audio streaming service’s terms of service note that it "may from time to time make changes to Paid Subscriptions" and "will communicate any price changes to you in advance."
Spotify's prices for its premium plans last increased in July. At the time, the audio streaming company said the move would "help us continue to deliver value to fans and artists on our platforms" and "keep innovating."
Spotify reportedly has a few new tiers in the works, including one for just music and podcasts priced at $11 that will not have audiobook access, according to Bloomberg.
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The company started delving into audiobooks in 2022. Last fall, premium accounts became eligible to listen to up to 15 hours of audiobooks each month at no additional cost.
The outlet reported that Spotify is seeking to help fund its audiobook offerings with the implementation of the price increases.
Spotify declined FOX Business' request for comment.
In February when the company released its fourth-quarter earnings, CEO Daniel Ek said its audiobook business was "performing well, and we are very excited about its potential."
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"It’s still early days, but the feedback from listeners and from the industry is extremely encouraging," he said. "In Q4, we became the number two provider of audiobooks behind Audible, which is notable, given how entrenched the legacy players are."