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\n\tSpotify has officially announced that it will raise prices for premium subscribers in the United States, as well as in Estonia and Latvia, beginning with users\u2019 next billing cycle in February. The company says<\/a> subscribers will receive an email soon explaining the changes.<\/p>\n \n\tIn the U.S., the individual premium plan will increase from $11.99 to $12.99 per month, while the family plan will rise from $19.99 to $21.99. The premium duo plan will jump to $18.99, up from $16.99, and the student plan will go from $5.99 to $6.99. Most of these prices weren\u2019t detailed in Spotify\u2019s announcement on Thursday, but its website has already been updated<\/a> to reflect the new amounts for U.S. users.<\/p>\n \n\tThis marks Spotify\u2019s third U.S. price increase in three years, following hikes in July 2023 and July 2024. The company says the adjustments are part of its strategy to maintain a strong value-to-price ratio as it adds new content offerings, like audiobooks, videos and various podcast features.<\/p>\n \n\tSpotify will email subscribers to explain what the changes mean and when they take effect. The company previously told investors<\/a> that price increases, combined with cost-saving measures, have strengthened margins and profitability. In its latest quarterly earnings report<\/a>, Spotify highlighted strong third-quarter results driven by subscriber growth. Paying subscribers rose 12% year-over-year to 281 million, with premium users fueling a 12% revenue increase to 4.3 billion euros ($5 billion).<\/p>\n \n\tAnalysts estimate that a U.S. price hike could generate hundreds of millions in additional annual revenue.<\/p>\n \n\tThe news comes as Spotify continues to expand its platform, including the recent launch of music videos<\/a> in the U.S. and Canada following a licensing deal for \u201cexpanded audiovisual rights\u201d with the National Music Publishers\u2019 Association.<\/p>\n<\/div>\n<\/div>\n