Spotify tops 300 million subscribers for the first time

Spotify has zoomed past 300 million subscribers for the first time, the company said Tuesday. The streaming service also reached 777 million monthly active users in the second quarter, 12% more than a year earlier.

Notably, the company’s subscriber base grew 9% in the quarter despite raising subscription prices in several regions this year. Spotify has tried to diversify its offerings by introducing fitness content, narrations of magazines, concert ticket sales integration, and even physical books. Quarterly revenue reached €4.8 billion ($5.52 billion), up 14% from a year earlier.

Spotify has focused heavily on building AI features in recent months. It has released tools to create personalized podcasts based on content from different sources and launched a NotebookLM-like feature as an experimental desktop app in May. The company has also added AI-powered Q&A and briefing-generation features to podcasts, partnered with ElevenLabs on an audiobook-creation tool, and struck a deal with music labels allowing users to make fan-generated remixes. Last month, it launched a new conversational AI assistant that lets users steer content on the app using prompts.

The platform’s subscriber counts are growing despite increasing backlash against its hosting of AI-generated music. To address user concerns, Spotify has added a verification system for artists and, last year, introduced optional labeling for AI-generated music. Still, in the absence of effective systems for identifying AI music, users are turning to alternative services such as SoullessMusic.com and SlopTracker, according to a 404 Media report last month.

Why it matters

Spotify is showing that price increases and AI-music controversy haven’t slowed subscriber growth, even as the company doubles down on AI tools across podcasts, audiobooks, and music remixing to keep expanding beyond its core streaming product.