Stockholm, Sweden – Spotify has announced a significant increase in its number of premium subscribers, with a 4% rise in the fourth quarter, bringing the total to 236 million. The company also reported a 5% increase in monthly active users, reaching 602 million. This growth has set new records for the top audio streaming service provider.
Despite these positive developments, Spotify faced challenges throughout 2023, including significant layoffs and price hikes. The company saw a quarterly loss of €70 million, marking an improvement from the previous year but still leading to an annual net loss of €532 million. However, advertising revenue reached an all-time high of €501 million for the quarter.
In addition to its focus on music, Spotify is continuing its investment in podcasting and audiobooks. The company has renewed its deal with Joe Rogan and is now allowing his podcast to be distributed on other platforms. Furthermore, premium subscribers now have access to 15 hours of audiobook content as part of their subscription, a departure from the previous on-demand model.
In a notable omission, Spotify has not provided any updates on the launch of its lossless streaming option, including the anticipated “HiFi” feature first announced nearly three years ago. The company’s continued delay in launching this feature has drawn attention from industry observers and consumers alike.
As Spotify continues to navigate the competitive landscape of the streaming industry, its latest quarterly results underscore both its significant success in growing its user base and the challenges it faces in managing costs and competition. The company’s strategic decisions in the coming year will be closely watched as it seeks to maintain its position as a leader in the global audio streaming market.