Spotify (NYSE:SPOT) shares rose 2.1% on Thursday after the streaming platform said it will raise prices for its Premium subscription service in the United States and select Baltic markets.
Spotify said the monthly price for existing Premium subscribers in the U.S., Estonia, and Latvia will increase by $1 to $12.99. The higher pricing will take effect on users’ billing dates starting in February, with customers set to receive email notifications outlining the change.
The move represents Spotify’s latest effort to strengthen its financial performance through targeted price adjustments. The company said the increase reflects “the value that Spotify delivers,” adding that such changes allow it to “continue offering the best possible experience and benefit artists.”
Spotify has been working to balance continued subscriber growth with improving profitability as it scales its global platform.
Across the broader streaming industry, price hikes have become more common as companies look to lift revenue amid rising content costs and intensifying competition.
Spotify’s Premium tier includes ad-free listening, offline playback, and unlimited skips, among other features. The company directs new subscribers to spotify.com/premium for the most up-to-date pricing information.
More about Spotify
Spotify is a global audio streaming platform offering music, podcasts, and audiobooks to users worldwide. The company operates a freemium model, with both ad-supported and paid subscription tiers, and focuses on connecting creators with audiences through personalized listening experiences.