Revenue in the Music Industry Surges in 2023 Due to Streaming Subscriptions

Streaming popularity drives nine years of consecutive music sales growth

In 2023, the global music industry experienced significant growth for the ninth consecutive year. This was primarily due to an increase in subscribers to streaming services, which accounted for more than half of the revenue generated from sound recordings. The sale of physical media like CDs and vinyl also saw a rise by 13.4%, while royalties grew by 9.5%. However, digital music sales declined by 2.6%.

According to IFPI Chief Financial Officer John Nolan, these figures reflect a diverse and global sector with growth in all markets and regions. Sub-Saharan Africa experienced the strongest growth at 24.7%, with South Africa leading the region with a 77% share of income. Latin America and Asia also experienced double-digit growth rates. Europe, which accounts for 25% of global revenue, grew by 8.9%, while the US and Canada, accounting for 41% of global revenue, saw a 7.4% increase.

Despite this positive growth, IFPI Chief Legal Officer Lauri Rechardt highlighted challenges such as streaming fraud, digital piracy, and potential misuse of artificial intelligence that need to be addressed responsibly to protect artists’ rights and publishing rights. Overall, the music industry continues to evolve and grow rapidly in today’s digital age.

The global music industry has seen remarkable growth in recent years driven by an increase in streaming subscriptions. According to the International Federation of Phonographic Industry (IFPI), revenue from sound recordings increased by 10.2 percent in 2023 to reach $28.6 billion.

Streaming accounted for over half of this revenue with its own rise by 10.4 percent to $19.3 billion.

Revenue from physical media such as CDs and vinyl increased by 13.4 percent while royalties grew by 9.5 percent.

Despite this positive growth, there are challenges that need to be addressed responsibly to protect artists’ rights and publishing rights.

Lauri Rechardt highlighted issues such as streaming fraud, digital piracy, and potential misuse of artificial intelligence that could harm the industry if not tackled properly.

The IFPI Chief Legal Officer noted that these figures reflect a diverse and global sector with growth in all markets and regions.

Sub-Saharan Africa saw the strongest growth at an impressive rate of

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