Music Industry

How Long Can Spotify Last Losing This Much Money Year After Year?

Spotify isn’t profitable. Not even close. Check out this graph of annual losses posted by Digital Music News.

Spotify losses

Add up all those red bars and you have cumulative losses of $698.1 million USD. Wow. And it’s not like they can scale to the point where their margins are great enough to cover their increasing costs. Read the whole story here.

Meanwhile, the average salary of a Spotify employee is just over $168,000 USD. Hey, good coders aren’t cheap.

Alan Cross

is an internationally known broadcaster, interviewer, writer, consultant, blogger and speaker. In his 40+ years in the music business, Alan has interviewed the biggest names in rock, from David Bowie and U2 to Pearl Jam and the Foo Fighters. He’s also known as a musicologist and documentarian through programs like The Ongoing History of New Music.

Alan Cross has 37816 posts and counting. See all posts by Alan Cross

One thought on “How Long Can Spotify Last Losing This Much Money Year After Year?

  • Well – consindering they just raised $1B USD they can last 5-6 years. Easily.

    Reply

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