Spotify has raised the price of its U.S. subscription plan for the third time in three years, increasing the monthly fee from $11.99 to $12.99. The price hike, which will take effect during the next billing cycle, was communicated to users via email.
Justification and Market Context
In a blog post, the company explained that “occasional updates to pricing across our markets reflect the value that Spotify delivers, enabling us to continue offering the best possible experience and benefit artists.” The increase follows similar price adjustments in other markets, such as the U.K. and Switzerland, in 2025.
According to a report from the Financial Times in November 2025, analysts from JPMorgan projected that the price hike in the U.S. could generate an additional $500 million in revenue for Spotify. This change aligns with Spotify’s broader strategy to boost revenue as its user base grows.
Price History and Expansion
This is the third time Spotify has raised prices in the U.S. since 2023. In that year, the individual plan price increased from $9.99 to $10.99 per month. A subsequent hike of $1 per month took place in June 2024. With over 281 million paid users worldwide, 25% of whom are from North America, Spotify’s subscription model remains a significant source of revenue.
In addition to the U.S., Spotify is also raising prices in Estonia and Latvia as part of its ongoing pricing strategy.
Featured image credits: Heute.at
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