Spotify Now Has 100 Million Monthly Active Users

Spotify continues to grow its user base: The music streaming now has 100 million monthly active users. The new milestone was first reported by the Wall Street Journal Monday, and subsequently confirmed by the company.

Spotify surpassed 30 million paying subscribers earlier this year. But while Spotify continues to grow its user base, it also faces increased competition from Apple Music, which has been able to acquire 15 million paying users since its launch a year ago.

The big difference between the two services is that Spotify continues to offer a free tier, whereas Apple converts users with a lengthy free trial. Record labels have long pushed for curtailing ad-supported music streaming, and want Spotify and others to instead transition towards a paid-only model. Spotify executives on the other hand have argued that the company’s free tier serves as a funnel for the paid service.

At the same time, it’s clear that some users may never pay. That’s why Spotify now wants to intensify its efforts to monetize ad-supported listening. The company has been staffing up its ad business, and Spotify CEO Daniel Ek is scheduled to speak at the Cannes Lion advertising festival for the first time this week, according to the Journal.

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