Music streaming giant Spotify is reportedly preparing to increase its subscription prices for users in the United States during the first quarter of next year. This anticipated **Spotify US price hike**, as detailed in a new report by the Financial Times, would mark the company's latest adjustment to its **subscription model** following similar increases in other global markets.
The planned increase would be the first for the **streaming service** in the U.S. since July 2024, when the monthly premium fee was raised to its current $11.99. When Spotify initially launched in the country 14 years ago, a subscription cost $9.99 per month. The company has already implemented **price increases** in several other regions, including the U.K., Switzerland, and Australia, signaling a broader strategy shift.
Major **record labels** have been vocal proponents of higher **music streaming subscription prices**, arguing that current fees have not kept pace with inflation. They contend that Spotify and its competitors offer services at rates significantly lower than other digital entertainment platforms, such as Netflix. Analysts at JPMorgan have estimated that even a modest $1-per-month increase in the U.S. could substantially boost Spotify's annual revenue by approximately $500 million.
This news emerges just weeks after Spotify announced significant future leadership changes. Founder and CEO Daniel Ek is scheduled to step down in September 2025, with the company transitioning to a co-CEO structure. Gustav Söderström, currently co-president and chief product and technology officer, and Alex Norström, co-president and chief business officer, are set to take the helm.
