Spotify now has 365 million users, including 165 million paying for Spotify Premium and 210 million for the ad-supported free version, according to a recent earnings report. These numbers are not only significant, but show that paid users have grown by seven million in a quarter, and overall users have grown by more than 20% since 2020. In addition to attracting more paid users and subscribers, the report also found that Spotify podcasts have grown in popularity, with active listening by users reaching an all-time high. This isn't surprising given that the streaming service has invested heavily in podcast shows, talent, and technology in recent years. The report also found that Spotify's goal is to add an additional 40 million users to reach 400 million total by the end of the year, but does it have enough to offer as competition intensifies?
Analysis: Can Spotify rank # 1 in streaming music?
(Image credit: Spotify) Spotify is the most popular music streaming service today, but it's often hard to compare its performance against its competitors because they don't publish such transparent numbers. The latest official Apple Music statistics revealed 60 million paid subscribers in 2019, though that number may have risen to over 80 million by now. Likewise, there are no recent figures from Amazon Music, but in 2020 an announcement revealed that it had 55 million subscribers. Although the number of subscribers has increased significantly, Spotify is still the big winner here. However, with several of its competitors offering more choice when it comes to audio quality, like Lossless and Spatial Audio now on Apple Music and Tidal HiFi, might those who take their music seriously be tempted? It's hard to predict. Sure, the allure of audiophile-approved sound elsewhere might win over some users, but we're not sure millions of people would trade one service for another for the promise of enhanced sound that many might not notice. Not even without premium audio setups for the game. Spotify is certainly doing its best to stay ahead of the crowd. We can see this with its own offering of Spotify HiFi, a lossless CD-quality audio service similar to Tidal HiFi, as well as its push into podcasts. Many streaming services have quickly established themselves as one-stop destinations for all things audio and entertainment, like Apple Music's wide selection of videos, radio shows, and behind-the-scenes content. Podcasts are also a great way to make more money from ad revenue, and by acquiring exclusive rights to certain podcasts and offering paid shows on their platform, it's seen as an attractive proposition for both advertisers and consumers.