Spotify has announced a price hike across all its paid subscription tiers, making it the most expensive major music streaming service in the U.S. for new users effective immediately, with existing Premium subscribers in the U.S., Estonia, and Latvia facing changes over the next month. The new pricing sees Spotify Premium Individual rise from $11.99 to $12.99 per month, Family plans increase from $19.99 to $21.99, and Duo plans go from $16.99 to $18.99. Student subscriptions have also seen a $1 increase, now priced at $6.99 per month.
The streaming giant justifies the price increase by emphasizing the value it provides, claiming it allows them to enhance user experience and support artists. However, the new rates place Spotify at a higher cost compared to competitors like Apple Music, TIDAL, and YouTube Music, which charge $10.99 for individual plans and have cheaper options for families and students.
This pricing announcement comes amid numerous changes at Spotify, including improved parental controls for family accounts and a collaboration with ChatGPT for personalized music and podcast recommendations. Nevertheless, the platform has faced significant criticism, particularly regarding its reliance on voice cloning and AI-generated music, as well as controversies surrounding CEO Daniel Ek’s investments in military technology. Notably, several artists, including King Gizzard & The Lizard Wizard, have removed their catalogs in protest against these issues.
As subscription fees rise, discussions among fans and artists about Spotify’s value are likely to increase, especially in light of recent scandals.