The increase in subscription prices does not stop. When it’s not Netflix which inflates its bill on the SVoD side, it’s music streaming which does so. Spotify announces that in France, subscribers to its Premium plan “will experience a price increase”.
According to the Swedish company, this decision is linked to the “additional costs on music streaming services, imposed by the French government”.
Spotify
Spotify is a music streaming platform that allows you to listen to unlimited music, radio and podcasts either without a subscription (with advertising) or with a subscription.
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Downloads:
1213 -
Release date :
03/08/2024 -
Author :
Spotify AB -
Licence :
Free license -
Categories:
Music
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Operating system :
Android, Google Chrome Extension, Linux, Online Service, Windows XP/Vista/7/8/10/11, iOS iPhone / iPad / Apple Watch, macOS
Launching a war against the French state by declaring to have “do everything to avoid reaching this point”, Spotify denounces this levy from the National Music Center (CNM). As part of the 2024 budget, the government put it in place with the aim of financing aid and the operation of this public establishment born in 2020.
The Swedish multinational believes that it is the consumer who will pay the consequences with the increase in the price of the Premium subscription. Without it, the company announces that it will be unable to ensure its “sustainability”.
With this tax, Spotify pays around two thirds of each euro to rights holders and the French government. The platform considers that this is a “significant amount”. Since then, “all our French premium users will see their subscription increase and will now pay the highest package within the European Union”.
The company also reduced its marketing budget to deal with this new tax initiated by Senator Julien Bargeton (LREM/RE).
“In the coming weeks”, Spotify will announce the exact amount of this increase in the Premium subscription in France. For the moment, the subscription is €10.99/month.
A communications war?
Spotify has therefore chosen to pass all or part of the streaming tax on its French subscribers and this is above all communication. There were other possible choices. ⬇️
— Sophian Fanen 💿 (@SophianF) March 7, 2024
Some criticize the offensive of the music streaming platform like the specialist journalist Sophian Fanen (Days), who thinks that the company is putting the burden of this tax on its French subscribers when it could have been shared with the labels.
The very scathing press release published by Spotify would aim to put pressure “before the application of this tax which must still go through legal and technical stages”.
The music firm is not only in disagreement with the French government since it welcomed the fine imposed on Apple by the European Commission.