Spotify Raises Service Fee

Along with many other streaming services, Spotify is raising its prices.

Starting this week, new subscribers will now pay $10.99 per month for its ad-free premium plan compared to the previous price of $9.99. The company said existing customers will have a “one-month grace period before the new price becomes effective.”

Price changes are not just affecting customers of the ad-free premium plan. Family and student plans are also going to see a $1 increase per month as well as Duo, a plan that lets two people share, which is rising in price by $2.

Spotify claims the price hike is a result of the market landscape evolving and that it will help the company “continue to deliver value to fans and artists on our platform.”

Spotify is following in the footsteps of many other streaming services that have jacked up prices this year. And, according to CNN, the reason is because “streaming services are no longer chasing subscribers, but rather investors are pressuring them to make money off the services, even if it comes at the expense of losing subscribers.”