Spotify today announced that it has crossed the 60 million paying subscriber mark. According to a report from The Financial Times, the news comes as Spotify aims to go public later this year, likely sometime in the fourth quarter…
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Spotify last announced that it had 50 million paying subscribers in March of this year, making for an increase of 10 million in just under 5 months. In September of last year, the company proudly touted 40 million paying subscribers.
Apple has guarded Apple Music subscriber numbers a bit more closely than Spotify. The last concrete number it gave was in December of 2016, when Eddy Cue announced 20 million paying subscribers. Since then, Cue has teased that Apple Music has “well past” 20 million subscribers, but has failed to offer a specific number.
Spotify continues to grow at a solid pace, adding some 20 million subscribers in under a year. Though some have noted that Apple overall has more users thanks to the 3-month free trial, but that benefits artists more than it does Apple itself.
Spotify is seemingly planning to go public later this year, hence why it’s so eager to release growth statistics. The company recently hired financial advisors to explore a listing on the New York Stock Exchange, though it continues to struggle in terms of profitability.
What’s standing in the way of Spotify going public, however, is negotiations with Warner Music. Should the two strike a deal, Spotify would “aim to go public in the fourth quarter.”
Interestingly, Spotify plans to skip the oft-dread IPO process, instead focusing on a “direct listing” with means insiders would be selling shares to the market rather than the company. In doing this, Spotify is missing out on proceeds from the IPO, though it could do a seconding offering at a later date should it need a cash infusion.