Spotify paid over $11 billion to the music industry in 2025, a record amount, with half going to independent artists and labels

Spotify announced on Wednesday that it paid more than $11 billion to the music industry in 2025, marking the largest annual payment by any retailer in history.

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The Swedish streaming service reported a growth of over 10% compared with the previous year.

Independent artists and labels accounted for half of all royalties, underlining Spotify’s role in supporting creators beyond the major music companies.

The company highlighted that it pays roughly two-thirds of all revenue to the industry, meaning payouts rise in line with its increasing revenues.

Spotify said the portion it retains is reinvested in expanding other content formats, including podcasts, videos, and audiobooks.

Spotify faces rising competition from rivals such as YouTube and Apple Music.

YouTube reported paying over $8 billion to the music industry between July 2024 and June 2025.

The platform recently raised premium subscription prices in several markets to boost profitability.

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Spotify ended the third quarter of 2025 with 713 million monthly active users, underscoring its large global reach.