The U.S. music subscription market may have finally hit a ceiling. According to new data from Digital Music News / DMN Pro, subscriber growth across digital service providers (DSPs) flatlined in 2024, with only Spotify and Apple Music continuing to post modest gains. All other major platforms—most notably Amazon Music and YouTube Music—saw little to no growth and, in some cases, actual subscriber losses.

This tracks with the Recording Industry Association of America’s mid-year 2024 report, which we previously covered. The RIAA noted a 3% year-over-year increase in paid subscriptions, reaching 99 million by mid-2024, a sharp contrast to double-digit growth in prior years.

While Spotify and Apple Music seem to be pulling further ahead, it’s unclear whether their gains are due to new market acquisition or users switching from other platforms. The DMN Pro data does not explicitly track platform-hopping, but the simultaneous growth of the top two players and stagnation elsewhere suggests subscriber consolidation is underway.

YouTube Music, in particular, saw a 0.21% decrease in subscribers, according to the report, reinforcing the idea that even tech giants with large ecosystems aren’t immune to competitive pressures in a mature market.

INSIDER TAKE

This is more than a blip—it’s a warning shot for DSPs outside the top tier. The U.S. market is showing signs of saturation, and unless players like Amazon and YouTube Music retool their strategies, they risk losing even more ground. Expect to see a bigger emphasis on bundling, exclusive content, or international growth from these players in the coming year. Meanwhile, Spotify and Apple Music are quietly becoming the default duopoly of streaming audio in the U.S.