Spotify Stock Smashes Records: Goldman Sees $200 Billion Music Streaming Market By 2035

Spotify Technology S.A. SPOT shares opened at a record $675 on Tuesday in New York, lifted by a bullish industry forecast from Goldman Sachs that sees the global music market nearly doubling in size over the next decade.

In its annual Music in the Air report, published Tuesday and led by analyst Lisa Yang, Goldman revised its compound annual growth rate (CAGR) forecast for the music industry to 6.8% for 2025-2030, down from 7.5% previously. The report also introduced a 2031-2035 forecast of 4.8% CAGR.

Still, that implies the global music market will expand from $105 billion in 2024 to nearly $197 billion in 2035.

Emerging Markets Will Drive Next Leg Of Music Streaming Growth

Goldman forecasts global paid subscribers will climb from 752 million in 2024 to 1.51 billion by 2035, with 75% of that growth coming from emerging markets—up from 57% today.

Spotify, which captured a 35% share of the global paid music streaming market in 2024 with 263 million subscribers, remains the dominant player along with Alphabet Inc.‘s GOOG GOOGL YouTube and Tencent Music Entertainment Group TME, particularly due to their bundling strategies and localized offerings in growth markets.

Goldman said Spotify gained 30 basis points in market share last year, following a 70 basis point increase in 2023.

Monetizing The Fan Experience: Super-Premium Tiers And Concerts

Goldman highlighted new monetization strategies including price increases, superfan-targeted products, and the growing integration of live events and digital platforms.

One key innovation: concert ticketing through streaming platforms.

“As Generation Y and Z fans engage more with their favorite artists, we also see opportunity for live music ticketing to benefit from increased integration with streaming services,” the report said.

Spotify's upcoming Super Premium tier is expected to include exclusive concert ticket pre-sale access, mimicking models like Citigroup Inc. C’s pre-sale partnership with Beyoncé.

Goldman said these deals could generate over $100 million globally at scale, as streaming platforms leverage listener data to offer high-value fan access while ticketing companies gain new monetization pathways.

Product Innovation And Pricing Power Are Key

Spotify has recently implemented strategic price hikes to support its evolving product model.

In May and July 2024, the company raised prices across several major markets, including the U.S., UK, and Australia. Yet, the increases primarily reflected added audiobook content rather than improved music margins.

Looking ahead, the Financial Times reported in April 2025 that Spotify will raise music-only plan prices by €1 across Europe and Latin America in early June. This would mark nearly two years since its last hike targeting the core music plan.

Goldman said that execution, scale and pricing power will determine future winners in a slower-growth music landscape.

Among digital streaming platforms, Goldman reiterated Buy ratings on Spotify Technology S.A., Alphabet Inc., Tencent Music Entertainment Group, NetEase Inc. NTES, Sony Group Corp. SONY, Live Nation Entertainment Inc. LYV, SM Entertainment Co. Ltd. and JYP Entertainment Corp.

The firm remains Neutral on Warner Music Group Corp. WMG, Hybe Co. Ltd. and Sirius XM Holdings Inc. SIRI.

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