| Advertisement |
Feb. 4 (UPI) -- Apple Music is expected to soon have more U.S. subscribers than Spotify. Spotify has long held the top spot among music subscription services, but the gap between Spotify and Apple Music, the second most popular service, has been shrinking for several months.
Advertisement
According to a new report by the Wall Street Journal, Apple Music is likely to overtake Spotify as the most popular music subscription service in the United States sooner rather than later.
Apple Music subscriptions have maintained a monthly growth rate of 5 percent. They currently have 36 million subscribers in the U.S. Spotify subscriptions are growing by an average of 2 percent per month. If the rates hold, Apple Music will overtake Spotify by summer.
In 2010, streaming subscriptions brought the music industry just $500 million in revenue. In 2016, streaming subscriptions revenue reached a peak of $3.9 billion. Streaming subscriptions now account for nearly two-thirds of total music industry revenue.
Despite the narrowing gap in the United States, Spotify has maintained its global advantage over its competitors.
News of Spotify's shrinking domestic competitive advantage comes just a few weeks after the company quietly announced its plans to go public. The company is foregoing an initial public offering, asking instead for a direct listing on the stock exchange.
