Global music industry revenues reached $45.5 billion in 2023, surpassing cinema’s pre-pandemic peak of $41.9 billion in 2019. This growth is driven by streaming platforms and the resurgence of vinyl records, according to a report based on data from industry trade bodies.
Streaming services like Spotify and Apple Music contributed significantly to this growth. Revenues from record labels and artists rose 12% to $28.5 billion, while music publishers and songwriters accounted for about a third of the total revenue.
The Vinyl Revival
Physical music sales, especially vinyl records, grew faster than streaming revenues. Vinyl sales rose by 15.4%, with U.S. vinyl sales expected to hit $1 billion by the end of 2024, potentially surpassing CD sales.
Changing Revenue Streams
Live performances now generate more revenue for music publishers and songwriters than general licensing, such as in retail and hospitality. Older bands like Oasis have reunited to capitalize on live music demand, while acts like Coldplay perform more shows at single venues.
Digital channels have also overtaken traditional broadcast and radio revenue for music publishers. A decade ago, digital made up only 5% of revenue collections; today, it dominates.
Global Trends
The report highlights the globalization of music, with non-American artists accounting for nearly a third of all streams in the U.S. The UK remains the largest exporter of music to the U.S.
“Make no mistake: it’s boom time,” said Will Page, the report’s author and a former Spotify economist. Streaming services now pay more for music than filmmakers do, marking a shift in revenue dominance from cinema to music.
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