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Spotify announces price rise for people with ad-free subscriptions

Spotify announces price rise for people with ad-free subscriptions

Millions of Spotify Premium subscribers are set to see their montly bill increasing.

The streaming giant announced its price plans would be increasing for the first time since 2011. It currently has around 200 million people signed up to the ad-free service.

In the US, the cost will increase from $9.99 to $10.99 (£8.57) for those with an individual plan. Similar increases will take place across the UK, with an Individual plan now costing £10.99 a month.

A Duo plan will now cost users £14.99 with a Family plan setting customers back £17.99 a month. Each plan has increased by £1.

The price rise comes as other streaming services have also announced hikes over the past year.

In a blog post, Spotify wrote: “With 200+ million Premium subscribers, we’re also proud to be the world’s most popular audio streaming subscription service, giving Premium users access to on-demand and ad-free music listening, offline music downloads, and quality music streaming.

“The market landscape has continued to evolve since we launched. So that we can keep innovating, we are changing our Premium prices across a number of markets around the world.

“These updates will help us continue to deliver value to fans and artists on our platform.”

Spotify said users “will be given a one-month grace period before the new price becomes effective, unless they cancel before the grace period ends”.

In 2021, the company hiked the US price of its Family plans as well as the UK Duo, Student, and Family. Although at the time, Individual plans were unaffected.

The new Spotify Premium cost matches the monthly plans of competitors Apple Music and Amazon Music.

In an April earnings call, Swedish CEO Daniel Ek said the company would “like to raise prices in 2023,” reports the BBC.

“When the timing is right, we will raise it and that price increase will go down well because we’re delivering a lot of value for our customers,” Mr Ek said.

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