US Music Subscribers Hit 100 Million Milestone

U.S. Music Streaming Surpasses 100 Million Subscribers

A recent report released by the Record Industry Association of America (RIAA) indicates that the United States exceeded 100 million paid music streaming subscriptions for the very first time in the previous year.

This figure represents an increase from the 96.8 million subscribers recorded in 2023, demonstrating a year-over-year growth rate of approximately 3%. The RIAA’s data excludes limited-tier services.

Subscription Metrics Explained

The RIAA methodology specifically excludes services with restrictions on device access or catalog availability. Furthermore, multi-user subscriptions, such as family plans, are counted as a single subscription for reporting purposes.

Market Share Leaders

Data from Digital Music News reveals Spotify as the dominant force in the U.S. music streaming market, holding a 36% share. Apple Music follows closely behind with a 30.7% market share.

Spotify currently boasts 55 million paid subscribers within the United States, as reported by Bloomberg in January. It's important to note that Spotify’s internal metrics may differ from the RIAA’s, potentially factoring in multi-user subscriptions individually.

Streaming Revenue Dominance

In 2024, revenue generated from music streaming accounted for a substantial 84% of the total music revenue. This $14.9 billion in streaming revenue encompasses paid subscriptions, ad-supported tiers, digital radio, social media platforms, and digital fitness applications.

Physical sales of music contributed the next largest portion of revenue, representing 11% of the overall total.

Growth in Paid Subscription Revenue

Revenues derived from paid subscriptions experienced a 5% year-over-year increase, reaching $11.7 billion. This accounts for 79% of all streaming revenue.

Impact of Price Increases

Over the past several years, major streaming services, including Spotify, Apple Music, and YouTube, have implemented price increases for their subscription plans. This trend is likely a contributing factor to the observed growth in revenue from paid subscriptions.

These adjustments in pricing models have demonstrably influenced the overall financial performance of the streaming sector.