Spotify Is Flooded With New Subscribers Amid The Joe Rogan Controversy And The Russian Invasion

Spotify gains an additional 2 million new subscribers in the first quarter (Q1) 2022. (photo; doc. Unsplash)

JAKARTA - In the midst of its controversy sparked by protests by musicians and 270 doctors, nurses, scientists, and educators, it actually got an additional 2 million new subscribers in the first quarter (Q1) 2022.

The figure grew 15 percent year on year (YoY) to reach 182 million, up from 158 million in the same period last year.

According to Spotify, as many as 422 million people use its service at least once a month, including people who listen for free with ads. That's up 19 percent from a year earlier.

The increase in subscribers was slightly below expectations. The latest figures coincide with a period when hashtags like #CancelSpotify are trending, thanks to a COVID-19 misinformation broadcast on Joe Rogan's popular podcast.

It was in late January, singer-songwriter Neil Young also sparked debate about the service's role in moderating messages promoted on his service, when he pulled his music from Spotify over objections to the COVID-19 vaccine misinformation on Rogan's podcast.

Young's boycott comes after hundreds of medical professionals pointed to Rogan when they asked Spotify to more accurately address COVID-19 misinformation.

However, Spotify was also hit by the loss of 1.5 million subscribers as the service stopped operating in Russia following many companies that pulled out of the country after the invasion of Ukraine.

In terms of revenue, the service generated US$2.82 billion equivalent to Rp40.9 trillion in the first quarter, a 24 percent YoY increase that exceeded expectations.

Premium subscription revenue increased 23 percent YoY to 2.38 billion euros equivalent to IDR 36.3 trillion, while ad-supported revenue increased to 282 million euros equivalent to IDR 4.3 trillion, up from 216 million euros equivalent to IDR 3.3 trillion in Q1 2021.

As Q2 ends in June, Spotify projects to reach 187 million subscribers and reach 428 million monthly listeners.

The latest figures reaffirm Spotify's dominance in subscription music worldwide. Its number two competitor, Apple Music doesn't regularly disclose its paid memberships and hasn't offered renewals for more than two years, masking how much of an edge Spotify might have.