Streaming platforms hit 818 million subscribers, but with just 6% growth, user expansion no longer ensures revenue [IMS Ibiza 2025 Report]

Music subscriptions rose to 818 million in 2024, yet lower per-user revenue points to a deeper challenge for labels.

The IMS Business Report 2025, launched this morning at the prestigious IMS Ibiza summit, breaks down the year’s most significant industry paradox: streaming platforms keep adding users, but revenue growth is slowing. The global music subscriber base climbed by 12% in 2024, reaching 818 million—a figure that would once signal booming business.

However, revenue only grew by 6%, indicating a widening disconnect. Nearly 80% of new subscribers came from Global South markets, where subscriptions are priced lower. This has implications not just for labels, but for every player reliant on streaming income.

Streaming is booming in reach – but revenue per user is the metric to watch in 2025.

Still, enthusiasm for music subscriptions remains high. Spotify maintained its 32% global market share and continued to lead in absolute subscribers. YouTube Music was the only other DSP to post notable gains, signaling its growing appeal beyond video.

For industry leaders, this shift demands a recalibration. Scaling users remains essential but monetizing them meaningfully is now the true challenge.

You can download the IMS Business Report, written by Mark Mulligan and MIDiA research here.