U.S. music industry postures to make over $10 billion in revenue in 2019
This year the music industry is expected to breach $10 billion for the first time since 2007, according to a mid-year revenue report from the RIAA.
The revenue increase is largely fueled by the streaming market’s swell— everything from Spotify and Apple Music to Youtube and Pandora, which grew by 26% as of the first half of 2019. Paid subscriptions lead the way, accounting for nearly 15 million new subscribers since 2018’s mid-year report. In total, the streaming side of the industry accounts for 80% of the mid-year report’s $5.4 billion in revenue.
Vinyl sales continue to rise as well, with an expectation that they’ll outsell CDs come year’s end, though the format still only makes up 4% of the industry’s revenue. In total, however, revenues from shipments of physical products make up 9% of the industry total for the period.
“Our mid-year report tells a great story and highlights how the music industry’s embrace of new platforms and technologies has fueled a huge amount of growth and excitement—and a gusher of great new options for fans everywhere.” says Mitch Glazier, RIAA Chairman and CEO.
The music industry supports over 157,000 music-related businesses and nearly 2 million jobs.