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  • 06.15.17

Spotify has 140 million listeners and growing revenue. Profits are another story

Spotify keeps blowing up. The music-streaming leader now boasts 140 million listeners (far more than any of its competitors) and saw its revenue grow 50% last year, to $3.3 billion. But profitability is another story. The company, which is expected to go public later this year, is still losing money as it doles out the majority of its income to record labels and rights holders, as Recode reports. That math may be starting to change as it renegotiates its deals with the major labels, trading concessions (like the option to temporarily hold new music from Spotify’s free tier) to the music industry in exchange for friendlier rates. JPT