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Spotify has announced its partnership with popular podcast personality Joe Rogan. SPOT stock jumped 8% yesterday and is 5% up today.
As a result of Spotify’s blockbuster partnership with popular podcast personality Joe Rogan, the digital music service provider has recorded an 8 percent surge in Spotify Technology SA (NYSE: SPOT) stock value. Joe Rogan’s influence has no doubt been all good for Spotify (SPOT). Rogan’s The Joe Rogan Experience has climbed to become one of the most downloaded podcasts in the world alongside a loyal and engaged fan base.
At press time, Spotify (SPOT) stock is up 5.31% and is trading for $184.11. The stock closed on Tuesday, trading at $161.43 and opened trading on Wednesday at $161.94.
Spotify recently has been investing to expand its podcast offering. This lead to partnering the popular podcaster as it is believed it would help Spotify stand unique from its competitors like Apple, Amazon music.
Spotify Maintains Strong Growth and Solid Balance Sheet, SPOT Stock Is Up
Amidst all the economic crises the world faces currently, Spotify remains one of the few firms around making gains from the current global crisis. In Q1 2020, the firm recorded a surge in the number of users. Reportedly, the total monthly active users are up 31percent YoY, in line with Q4 31 percent growth.
Also, the number of Spotify premium subscribers went up slightly (130 million) 31 percent rise compared to the 29 percent surge in Q4 2019. The firm’s product exhibited resilience as more people now are forced to stay at home listening dropped in cars, web, and wearable devices. Listening to Smart TVs, speakers, gaming consoles, however, rose by over 50 percent.
Spotify app also remains one of the most downloaded in major countries in the world.
Music Industry Value to Double by 2030
Analyzing from the success, Spotify enjoys amidst the global crisis. One can say the entire music industry at large can experience the same over time with or without the COVID-19 pandemic scourge. Analysts at Goldman Sachs have predicted that by 2030, music revenue would hike to around $142 billion. This translates to an 84 percent rise compared to the 2019 level of $77 billion.
However, the firm predicts that global music will suffer a 25 percent loss this year because of the coronavirus pandemic. According to U.S. investment bank analysts, live music would suffer severely, as postponement and cancellation of event this year would lead to a 75 percent plunge in revenue.
But on the long run, a strong rebound is forecasted with growth in paid streaming, growing demand for music contents, and live events.