New York
CNN
—
Spotify is increasing its prices again, less than a year after it last hiked prices for most of its subscription plans.
The latest price hike comes as streaming media companies face rapidly increasing costs of doing business – and customers continued to sour over rising prices of goods as inflation remains stubbornly high.
Beginning in July, Spotify’s US subscribers will pay $1 more per month for its ad-free premium plan, rising to $11.99 per month — a 20% increase over the past two years. The audio streamer said that it’s increasing prices to “continue to invest in and innovate on our product features and bring users the best experience.”
Some of Spotify’s other tiers are also getting price bumps. The monthly cost of Duo, a plan that lets two people split a premium plan, is rising by $2, to $16.99. The family plan is increasing prices by $3 to $19.99 per month.
Spotify recently increased subscription prices for international subscribers, cut costs and underwent several rounds of layoffs including drastic reductions to its podcast business.
Streaming, both music and television, is getting gradually more expensive for everyone as companies continue the elusive hunt for profits. Paramount, CNN’s parent company Warner Bros. Discovery, NBCUniversal and even Netflix have all raised prices in the past year in a drive towards profitability.
Shares of Spotify (SPOT) increased more than 2% in premarket trading, and the stock is up nearly 60% for the year.