Spotify Now Has 83M Paid Subscribers and 180M Total Monthly Users

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In its Q2 2018 earnings report shared today -- the second since filing for an IPO -- Spotify revealed that it has grown to 83 million paid subscribers globally and 180 million total monthly active users (including the free tier) as of the end of June 2018 (via TechCrunch). This is an increase from 75 million paid subscribers and 170 million total users that Spotify had in Q1 2018.

Spotify is in a heated battle for new subscribers with Apple Music, which has been growing fast over the last few quarters. While Spotify still has more than double Apple Music's global paid subscriber count (Apple Music was last counted to have about 40 million), recent reports have suggested Apple's streaming service could be beating Spotify in terms of paid subscribers in the United States.

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Spotify didn't specify U.S. paid subscriber numbers, but it says that 31 percent of its total 180 million monthly active users are located in North America. This places around 56 million paid and free tier Spotify users across regions including the U.S., Canada, and Mexico. Spotify attributes its subscriber growth to strong performance and lower churn rate of its Family Plan, as well as partnerships like the Spotify + Hulu bundle.

While the company grew its revenue 26 percent year-over-year to €1.27 billion, it still isn't making a profit and saw an operating loss of €91 million and net loss of €394 million this quarter. It's believed that the company's spending on marketing campaigns to stay ahead of Apple Music and the high royalty payments to record labels and artists continue to be a barrier to profitability for Spotify.

The company also pointed towards the new GDPR rules set in Europe this past May as a "disruptor" across its European markets during Q2. The rules were said to have slowed down subscriber growth where 37 percent of its total user base resides (its biggest region), but Spotify says it "seems to be largely past that now."

Looking into Q3 2018, Spotify expects paid subscribers to rise to 85-88 million and total users to rise to 188-193 million.

Tag: Spotify

Top Rated Comments

Blackstick Avatar
31 months ago
I love Spotify, it's light-weight and straight forward, easy to find music, add to playlists, done.

Apple Music's biggest problem is that it's bolted on top of the Mac iTunes app, which since the first iPhone has become a cluster**** of a bloated piece of garbage application that I removed it from my dock entirely... on iOS devices it's tolerable, but useless on my Mac work.

My gut feeling says come macOS 10.15 Apple just marzipans the iOS Music apps to macOS and kills/sunsets iTunes classic.
Score: 18 Votes (Like | Disagree)
Mike MA Avatar
31 months ago
It's good to have at least two strong competitors pushing each other to innovate. Customers on both sides will benefit, especially as I expect some other services like Tidal to disappear rather sooner than later.
Score: 9 Votes (Like | Disagree)
Heineken Avatar
31 months ago
Happy AM user. Spotify had its chance.
Score: 8 Votes (Like | Disagree)
dmylrea Avatar
31 months ago

Happy AM user. Spotify had its chance.

Been using Spotify for over a year. Recently signed up for 4 month trial of AM. So far, every time (and I mean every time) I've asked Siri to play something, she gets it wrong. My family laughs. I just shake my head and go back to Spotify.

Just getting my personal (owned) music into my Apple Music library was a slow, painful exercise. I just don't see why people love AM so much?
Score: 8 Votes (Like | Disagree)
dmylrea Avatar
31 months ago

Works most of time for me on iPhone and I can't remember HomePod getting it wrong. Maybe you have strange accent?

Born and raised in So Cal, so I don't think so.
[doublepost=1532618202][/doublepost]

It’s funny how different opinions can be. I find Spotify’s interface to be crap. Not saying Apple Music doesn’t have room for improvement but trying to covertly look for songs on my phone while at a red light on Spotify is quite difficult. For that reason alone I’ve written it off.

I hope this is sarcasm. If not, it's a pitiful reason for calling it's interface "crap".
Score: 5 Votes (Like | Disagree)
H3LL5P4WN Avatar
31 months ago
Apple Music all the way. I like it when the bands that I listen to actually get paid.
Score: 4 Votes (Like | Disagree)

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