Music Streaming Global Market Report 2024

The music streaming market size has grown rapidly in recent years. It will grow from $30.04 billion in 2023 to $33.97 billion in 2024 at a compound annual growth rate (CAGR) of 13.1%. The growth observed during the historical period can be attributed to factors such as digital music distribution, the proliferation of mobile devices, integration with social media, global licensing agreements, and the introduction of offline listening features.

The music streaming market size is expected to see rapid growth in the next few years. It will grow to $57.78 billion in 2028 at a compound annual growth rate (CAGR) of 14.2%. Forecasted growth is driven by podcast integration, interactive features, expansion into emerging markets, global localization, and social collaboration. Major trends include high-fidelity streaming, AI-driven personalization, live audio and virtual concerts, user-generated content, and subscription bundling.

The escalating adoption of smart devices is poised to drive the growth of the music streaming market. Smart devices, including smartphones and smart speakers, have revolutionized the music listening experience by incorporating intelligent features. These features include setting alarms, voice-activated music playback, controlling home smart devices, and streaming live music, often powered by virtual assistants. As reported by SmartTek Solutions in October 2023, a US-based software development firm, over 41.9% of US homes were equipped with smart home devices in 2021, and this figure is projected to increase to 48.4% by 2025. This surge in the adoption of smart devices is a significant factor fueling the growth of the music streaming market.

The widespread availability of high-speed internet connectivity is expected to drive the growth of the music streaming market in the upcoming years. High-speed internet connectivity, characterized by fast data transfer rates and minimal latency, plays a crucial role in facilitating seamless music streaming experiences. It allows users to quickly access and transmit digital data, reducing buffering times and ensuring smooth playback without interruptions. This enhancement in internet speed contributes significantly to an improved overall user experience in accessing and enjoying music content online. As reported by the HighSpeedInternet.com Speed Test in September 2023, a comprehensive resource for evaluating internet service providers and increasing connection speed in the US, there was a more than 20% year-on-year increase in internet speeds in 2022, reaching a nationwide average of 119.03 Mbps. Consequently, the proliferation of high-speed internet connectivity stands as a key driver behind the growth of the music streaming market.

Artificial intelligence (AI) and machine learning (ML) are pivotal trends shaping the landscape of the music streaming market. These technologies are instrumental in elevating the music streaming experience by augmenting storage capacity and refining search recommendations, thereby enhancing the overall user experience. An exemplar of this trend is Gaana, an India-based music streaming app, which, in January 2022, introduced a new product feature leveraging artificial intelligence to enhance the music listening experience for its users. The app utilizes AI to dynamically adjust music preferences, catering to an individual's specific occasion or daily mood. This integration of AI in music streaming not only showcases advancements in technology but also exemplifies how personalized and adaptive features contribute to an enriched and tailored user experience in the music streaming market.

Major players in the music streaming market are increasingly adopting a strategic partnership approach to explore innovative business models for music streaming. Strategic partnerships involve companies leveraging each other's strengths and resources to achieve mutual benefits and success. A notable example is Tidal, a US-based music streaming service, which, in January 2023, announced a partnership with Universal Music Group N.V., a Netherlands-based music corporation. The collaboration aims to investigate a new economic framework for music streaming that better rewards the value provided by artists and more accurately reflects the connection Tidal users have with the artists and music they enjoy. Tidal and UMG will explore how digital audio streaming services and platforms can enhance financial value for artists by leveraging fan engagement. The study will examine different financial approaches that may benefit artists and the music community by accelerating subscriber growth, increasing retention, and more effectively monetizing fan interactions. This strategic partnership exemplifies the industry's effort to evolve and create fairer economic models that benefit both artists and users in the music streaming market.

In May 2022, SoundCloud, the Sweden-based music streaming platform, revealed its acquisition of Musiio, a Singapore-based music technology start-up, for an undisclosed sum. This strategic move is geared towards enhancing SoundCloud's proficiency in artificial intelligence (AI) to identify emerging music trends and talent, leveraging its extensive dataset. Musiio, known for its AI-driven technology, specializes in automatically tagging and identifying songs in the realm of music streaming. With this acquisition, SoundCloud aims to further solidify its position in the industry by harnessing Musiio's innovative capabilities and expanding its capacity to recognize and amplify the next wave of musical content and artists.

Major companies operating in the music streaming market report are Amazon.com Inc., Apple Inc., Google LLC, Spotify AB, Melon Corporation, Sirius XM Holdings Inc., Yandex Music, Tencent Music Entertainment Group, iHeartmedia Inc., Tidal Music LLC, Pandora Media Inc., Kugou Music, Audacy, Kuwo Music, Cumulus Media Inc., NetEase Cloud Music, SoundCloud Global Limited & Co. KG, Deezer SAS, Napster Technologies Inc., KKBOX Inc., LiveOne, Wynk Music, Hungama Digital Media Entertainment Private Limited, Anghami, Boomplay Music Africa, Gaana.com, JOOX Music, Saavn Media Pvt. Ltd., Xiami Music, Zvooq AB.

North America was the largest region in the music streaming market share in 2023. The regions covered in the music streaming market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the music streaming market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The principal services offered by music streaming can be categorized into on-demand streaming and live streaming. On-demand streaming allows consumers to request and access music at their convenience, offering features such as rewind, fast-forward, and pause to cater to individual preferences. Music streaming, whether in audio or video format, is facilitated through application-based or web-based platforms. Revenue channels for music streaming services include both non-subscription and subscription models, serving the needs of individual users as well as commercial applications. This diverse range of services within the music streaming industry caters to the varied preferences and usage patterns of consumers.

The music streaming market research report is one of a series of new reports that provides music streaming market statistics, including music streaming industry global market size, regional shares, competitors with a music streaming market share, detailed music streaming market segments, market trends and opportunities, and any further data you may need to thrive in the music streaming industry. This music streaming market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The music streaming market includes revenues earned by entities by in-person, hybrid and virtual music streaming. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.