London — Online streaming services such as Spotify and Apple Music have become the music industry’s single biggest revenue source, overtaking physical sales and digital downloads for the first time, a global industry body said on Tuesday. The rapid growth in streaming music services in recent years has led to a recovery in the fortunes of the global recorded music industry, which enjoyed its third year of positive revenue growth, according to a report by industry trade group the International Federation of the Phonographic Industry (IFPI). By 2014, music sales had fallen by 40% to $14.3bn in the 15 years since 1999, when the rise of music file-sharing service Napster ravaged sales of CDs, and the development of download services such as Apple iTunes failed to offset declines. In 2017, subscription-based streaming revenue accounted for 38% of all recorded music, up from 29% the year before, IFPI said. Figures released in IFPI’s Global Music Report 2018 show total revenues for 2017 we...

BL Premium

This article is reserved for our subscribers.

A subscription helps you enjoy the best of our business content every day along with benefits such as exclusive Financial Times articles, ProfileData financial data, and digital access to the Sunday Times and Times Select.

Already subscribed? Simply sign in below.



Questions or problems? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now