Music Streaming Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Service (On-Demand Streaming, Live Streaming), By Content (Audio, Video), By Platform (Application based, Web based), By Application (Individual, Commercial), By Region, By Company 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 52.51 Billion
CAGR (2026-2031)	14.41%
Fastest Growing Segment	Live Streaming
Largest Market	North America
Market Size (2031)	USD 117.77 Billion

Market Overview

The Global Music Streaming Market will grow from USD 52.51 Billion in 2025 to USD 117.77 Billion by 2031 at a 14.41% CAGR. Music streaming is defined as the digital distribution of audio content via the internet allowing users to listen to music in real time without the need to download files. The primary drivers supporting market growth include the ubiquitous adoption of smartphones, the widespread availability of affordable broadband internet connectivity, and the consumer demand for convenient access to extensive music libraries. These fundamental infrastructural and behavioral shifts provide a robust foundation for the continued expansion of digital audio services across both developed and emerging regions.

According to the IFPI Global Music Report 2025, in 2024, streaming revenues surpassed 20.4 billion US dollars and represented 69 percent of total global recorded music revenues. This segment was bolstered by a rise in paid subscription accounts which reached 752 million users globally. Despite this growth, the market faces a significant challenge regarding copyright infringement and remuneration issues related to the unauthorized ingestion of licensed content by generative artificial intelligence systems. This legal complexity poses a substantial impediment to market stability and the equitable distribution of value to rights holders.

Key Market Drivers

The increasing adoption of paid subscription and freemium models serves as the primary financial engine propelling the market forward. Platforms are successfully converting ad-supported users into premium subscribers by offering superior audio quality, offline listening, and ad-free experiences, effectively capitalizing on the shift from content ownership to access-based consumption. This tiered monetization strategy not only stabilizes revenue streams against advertising volatility but also allows providers to scale rapidly in price-sensitive emerging economies. According to Spotify, November 2024, in the 'Third Quarter 2024 Earnings' report, premium subscribers on their platform increased 12% year-over-year to reach 252 million globally. Furthermore, as mature markets consolidate, this model is reinforced by consistent user retention, evidenced by the United States market where, according to the Recording Industry Association of America (RIAA), in 2024, the number of paid streaming subscriptions reached a record high of 99 million.

Concurrently, the growth of podcast and non-music audio content libraries is fundamentally altering user engagement and platform value propositions. Streaming services are evolving into comprehensive audio ecosystems, integrating spoken-word content to increase time spent on-platform and differentiate themselves in a crowded marketplace. This diversification strategy mitigates music licensing costs while attracting a broader demographic interested in news, storytelling, and educational content, thereby reducing churn rates. The impact of this content expansion is evident in user behavior; according to Radio Ink, November 2024, in the article 'Premium Revenue and Subscribers Drive Spotify's Big Q3', over 250 million users streamed video podcasts on the Spotify platform, highlighting the immense traction of multi-format digital audio experiences.

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Key Market Challenges

The unauthorized ingestion of licensed content by generative artificial intelligence systems constitutes a legal complexity that impedes the stability of the global music streaming market. When AI models utilize copyrighted audio for training without securing proper licenses, they bypass established remuneration structures and undermine the value of proprietary catalogues. This circumvention allows AI-generated content to flood streaming platforms, diluting royalty pools and competing directly with human-created music for listener time and revenue share. The resulting uncertainty regarding copyright enforcement discourages investment in new talent and disrupts the financial predictability required for rights holders to sustain production.

According to GEMA and SACEM, in 2024, approximately 71 percent of music creators surveyed indicated that the unregulated use of generative artificial intelligence poses a risk to their income and future economic livelihood. This widespread apprehension reflects the tangible impact of remuneration gaps on the supply side of the industry. As creators face potential revenue displacement, the market experiences friction that threatens the continuous flow of high-quality content essential for maintaining subscriber retention and overall ecosystem growth.

Key Market Trends

The adoption of AI-driven hyper-personalization and contextual recommendations is reshaping user engagement strategies as platforms move beyond static playlists to generative, real-time content curation. Streaming services are increasingly utilizing large language models to create features like dynamic AI DJs and prompt-based playlist generation, which tailor listening sessions to specific user moods, activities, and times of day. This technological evolution not only enhances content discovery but also significantly improves monetization by driving higher user retention and premium tier upselling. According to Nasdaq, July 2025, in the 'Can Spotify's Reliance on AI-Powered Offerings Drive Growth?' article, the expansion of AI-playlist features to new markets contributed toward an average year-over-year revenue per user (ARPU) growth of 4% in the first quarter of 2025.

Simultaneously, the proliferation of niche and localized regional music repertoires is decentralizing the global streaming landscape, marking a shift away from Anglo-centric content dominance. Emerging markets are witnessing a surge in domestic content consumption as platforms improve local discovery algorithms and support regional artist ecosystems, effectively capturing audiences in high-growth territories that prefer culturally relevant audio. This trend is creating a two-speed market where international expansion outpaces domestic saturation in mature economies. According to Music Business Worldwide, January 2025, in the 'Global audio streams jumped 14% in 2024' report, on-demand audio streaming growth in non-US regions reached 17.3% year-over-year, which was more than double the 6.4% growth rate observed in the United States.

Segmental Insights

The Live Streaming segment represents the fastest-growing category within the Global Music Streaming Market, driven by increasing consumer demand for real-time engagement and visual content. This growth is accelerated by the widespread availability of high-speed internet, which supports high-definition broadcasts of virtual concerts and exclusive artist interactions. Platforms are actively integrating live video capabilities to foster direct connections between performers and fans, creating new revenue streams beyond traditional audio recordings. Consequently, the shift toward interactive digital experiences allows industry stakeholders to overcome physical geographical limitations, securing the segment's rapid expansion.

Regional Insights

North America maintains a commanding position in the Global Music Streaming Market, primarily driven by its advanced digital infrastructure and widespread high-speed internet availability. The region houses industry leaders such as Apple, Amazon, and Google, whose integrated smart device ecosystems significantly enhance user engagement and service adoption. Furthermore, high disposable income levels in the United States and Canada support a robust culture of paid subscriptions, distinguishing the market from regions reliant on ad-supported models. This maturity, combined with strong intellectual property protections, ensures a stable revenue environment that sustains North America’s status as the leading contributor to the global industry.

Recent Developments

• In December 2024, Universal Music Group and Amazon Music announced a significant expansion of their global licensing agreement to foster what they termed "Streaming 2.0." This enhanced partnership focuses on developing new promotional tools and exclusive content experiences, such as high-definition audio, music videos, and livestreaming opportunities for artists. The collaboration also includes a joint commitment to protecting artist rights against the misuse of artificial intelligence and fraud in the music industry. The agreement aims to drive deeper fan engagement and create new commercial opportunities for artists by leveraging the technological capabilities of the streaming service and the extensive repertoire of the music group.
• In September 2024, Apple Music introduced "Music Haptics," a new accessibility feature launched alongside iOS 18 that allows users who are deaf or hard of hearing to experience music through tactile feedback. The technology utilizes the Taptic Engine in the iPhone to create sophisticated vibrations, taps, and textures that synchronize with the audio rhythm of the track being played. The feature works across the Apple Music catalog, including millions of songs, and is also compatible with Apple Music Classical and Shazam. To support the launch, the company curated specific playlists like "Haptics Beats" and "Haptics Bass" to showcase the capabilities of the new sensory experience.
• In April 2024, Tidal streamlined its subscription offerings by merging its "HiFi" and "HiFi Plus" tiers into a single plan simply branded as "TIDAL." This strategic move simplified the pricing structure, offering subscribers access to high-resolution lossless audio formats, including FLAC and Dolby Atmos, at a lower price point of $10.99 per month. Previously, these high-fidelity features were locked behind the more expensive "HiFi Plus" tier. The company stated that this consolidation was designed to make premium audio quality more accessible to a broader audience while maintaining its commitment to artist-centric payment models and high-quality sound standards.
• In March 2024, Spotify launched music videos in a beta version for Premium users across 11 select markets, including the United Kingdom, Germany, and Brazil. This new feature allows subscribers to switch seamlessly between audio and video modes on their mobile, desktop, or TV devices, enhancing the connection between artists and fans. The company integrated this visual component directly into the "Now Playing" interface, where users can toggle the video with a single button press. This rollout aims to deepen listener engagement and artist discovery by keeping music visuals within the streaming ecosystem rather than directing users to external video platforms.

Key Market Players

• Spotify USA Inc.
• Apple Inc.
• Google LLC
• Amazon.com Services LLC
• Tencent Music Entertainment Group
• SoundCloud Limited
• Deezer S.A.
• Block, Inc.
• Pandora Media, LLC
• Xandrie S.A.

By Service	By Content	By Platform	By Application	By Region
On-Demand Streaming Live Streaming	Audio Video	Application based Web based	Individual Commercial	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Music Streaming Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Music Streaming Market, By Service:

• On-Demand Streaming
• Live Streaming

• Music Streaming Market, By Content:

• Audio
• Video

• Music Streaming Market, By Platform:

• Application based
• Web based

• Music Streaming Market, By Application:

• Individual
• Commercial

• Music Streaming Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE