Spotify has surpassed 100 million paid subscribers worldwide and now become the first to have that many subscribers. The streaming music service announced 100 million paid subscribers in its first-quarter earnings report on Monday. The company said that its premium services grew by 32% year-over-year, strengthen by partnerships with Hulu, Google ( ) and Samsung. Spotify has now a total of 217 million monthly active users worldwide including the free subscribers.
Some of these increasing percentage credits go to the newly launched Indian service which helped in gaining 2 million users. Spotify admitted India’s growth has continued to outpace the company’s expectations. Also, in the US Apple’s music streaming service is winning according to theWall Street Journal, with 28 million subscribers compared to Spotify’s 26 million.
Spotify latest earnings further highlight the company’s podcasting, the company said that they want to develop a better advertising model for podcasts. That will include “targeting, measurement, and reporting capabilities.” This explains the company plans to develop different ways of letting podcast producers place a variety of ads in a podcast depending on the user being targeted, similar to the ads played during ad-supported music listening.
Spotify attracted the users by offering a premium package like a number of deals, including adding Hulu at no additional charge, offering free Google Home Mini speakers and giving new users in the United States a six-month trial with the purchase of a new Samsung Galaxy S10 phone. These promotions are mainly to give competition to Apple( ), which unlike Spotify doesn’t offer a free tier.
Not forget to mention, Spotify recently acquired the podcasting companies Gimlet Media, Anchor, and Precast, which currently offers a quarter of a million podcasting titles on the streaming platform. By the end of this quarter, Spotify expects to have 222 to 228 million users, including between 107 and 110 million paid subscribers.
The company also says that voice speakers are a sensitive area for growth. Last year, Spotify conduct a promotional stunt to give free Google home mini speaker to every family account subscribers. On the other hand, the company is still losing money despite an increased number of users. Spotify posted a loss of €142 million ($158.3 million) from January to March quarter, compared with a loss of €169 million in the same period in 2018.