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With its 489 million users, Spotify is the platform for streaming market leader today.
In 2021, music in streaming it accounted for 65 percent of total music revenue.
Recently, YouTube Music, one of the most used platforms, reached 80 million users worldwide.
In a context in which streaming music continues to report significant growth, Spotify continues to collect users around the world and, in its most recent report, the platform reveals that it already has 489 million active users globally.
There is no doubt that, with the arrival of Spotify on the market, the world of music changed permanently. In fact, we could consider that the beginnings of streaming go back to platforms such as Napster, Limewire, Ares, among others that made music in mp3 format one of the biggest bets for the music industry.
Today, the consumption of music is one of those that has changed the most over the years and trends, being, at present, the streaming the most relevant business model for artists and the industry itself.
In 2021, to mention one example, the International Federation of the Phonographic Industry (IFPI) disclosed that streaming music accounted for 65 percent of total music revenue.
And it is that, it is no secret that, to this day, record sales are no longer part of consumer habits, despite the fact that, in recent years, they have reported growth worthy of recognition.
The Recording Industry Association of America (RIAA) recently pointed out a significant increase in CD sales. In that sense, shipments increased from 31.6 million in 2020 to 46.6 million in 2021, and the format’s revenue increased from $483.2 million to $584.2 million.
Of course, these numbers are a far cry from what the recording industry recorded in 2000, which peaked in sales, when almost a billion CD-format albums were shipped in the United States.
streaming grows and Spotify reaches 489 million users
Currently, streaming is the main business model for the music industry, at a time when digitization continues to adapt to reality and to people’s daily lives.
In the midst of this scenario, not long ago youtube music and even Apple Music reported significant growth; Google’s platform, in November of last year, announced that it had reached 80 million users/subscribers.
Now, according to what it presented in its most recent report, Spotify added 205 million subscribers and, in addition, 489 million monthly active users worldwide, data corresponding to the fourth fiscal quarter of 2022.
“We finished 2022 strong despite a challenging year. We will drive even greater efficiency in 2023.”mentioned the CEO of the company, Daniel Ek, through his Twitter account, stating that the platform will be working with “more intensity and effort.”
Q4 ’22 $SPOT delivered great platform growth. We ended 2022 strongly despite a challenging year. Expect us to move faster with more intensity of effort, driving even greater efficiency in 2023. pic.twitter.com/rII7hHwRy1
—Daniel Ek (@eldsjal) January 31, 2023
In short, with the rise of digitization and the evolution of social networks, access to and consumption of music has changed significantly. In fact, today, TikTok has established itself as one of the most important music positioning platforms, a case that was reaffirmed thanks to Bad Bunny.