Spotify raises prices and unveils new plans

Spotify has announced an upcoming price increase for its services, along with the introduction of new, more affordable subscriptions.

Here's What We Know

According to Bloomberg, the music streaming giant plans to implement a second price increase in five markets by the end of April, including the UK, Australia, Pakistan and later this year, the US.

The price increase, estimated to be between $1 and $2 per month, is the result of the inclusion of audiobooks in premium subscriptions.

Spotify may introduce a new basic tier focused on music and podcasts only. This new tier will cost $11 on an individual premium plan, and users will have the option to add audiobooks for an additional fee.

The platform continues to work on its premium tier with high-quality audio, audiobooks and other premium features.

With Spotify's reliance on music content royalties, which currently account for approximately 70% of its revenue, it is undergoing a strategic reorientation. Recently, the company has been investing heavily in podcasts, which have begun to generate revenue, and now in audiobooks.

Source: BGR