Technology

Spotify hits 130 million subscribers amid Covid-19

Spotify hits 130 million subscribers amid Covid-19
Written by Chief Editor

Spotify disclosed its quarterly financial results.

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Spotify disclosed its quarterly financial results

Spotify has reached 130 million paid subscribers, despite initial concerns about how the Covid-19 crisis could affect listening habits.

The music streaming platform claims to have earned six million subscribers in the first quarter of 2020.

He said the figures fell to the top of what had been predicted before the coronavirus epidemic.

But analysts have warned that Spotify’s quarterly results may not be as positive as the company suggests.

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Spotify said that a double-digit increase in quarterly revenue helped offset a decline in ad sales, which contributed less than 10% of its overall revenue.

“Despite all the turmoil around the world, we have achieved almost all the metrics,” said chief executive officer Daniel Ek to Reuters.

The platform had begun to experience a drop in user numbers in February among the countries most affected by the virus, including Spain and Italy, he said.

But there has been a “significant recovery” in the past month.

Active users

The company said monthly active users increased 31% in the quarter.

But Midia Research analyst Mark Mulligan told BBC News: “Checking an app once a month is not active use.

“Therefore, daily active users and weekly active users are the ones that require checking.

“Spotify says the ratio of daily active users to monthly active users was” strong “in the quarter.”

“However, forte does not mean” tall “, and the fact that it was reported as greater than 12 months ago, but without any reference to the last quarter suggests that” forte “may not be a useful adjective here.”

Listening to radio

Mulligan also noted that 28% of consumers in the United States and 25% in the United Kingdom used their normal listening time for commuting for other activities.

“After all, it is possible to have declining flows but a growing user base, that is, more people who sign up but use the service less,” he added.

Last month, Global, which owns Captial FM and the LBC talk station, said that listening to online radio has increased by 15% since the start of the UK blockade.

“The figures indicate that the public is turning to radio in times of crisis,” said a global spokesman.

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