Online streaming services such Spotify and Apple Music have become the music industry’s single biggest revenue source, overtaking physical sales and digital downloads for the first time.
The rapid growth in streaming music services in recent years has led to a recovery in the fortunes of the global recorded music industry, which enjoyed its third year of positive revenue growth, according to a report by industry trade group IFPI.
Online streaming services such Spotify and Apple Music have become the music industry’s single biggest revenue source
Last year, subscription-based streaming revenue accounted for 38 percent of all recorded music, up from 29 percent the year before, IFPI said.
Industry leaders say that the rise of music streaming is enabling the market to reach new regions of the world, while helping weaning a generation of music fans away from free or pirated music.
Latin America and China saw the biggest market growth, with a rise in overall music revenue of 17.7 percent and 35.3 percent respectively.