Apple Music Will Grow 40% Annually, Faster Than Spotify, says Top Analyst

Apple Music is growing far faster than Spotify, according to a new analysis.  If this growth rate continues, Apple could pass Spotify for paid subscribers, particualrly in the US, sometime this year.

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A recently leaked internal memo revealed that Apple Music now has 40 million subscribers, up 2 million from 38 million just two months earlier. That's led a leading analyst to predict 40% annual growth for Apple's music streaming service.

 The WSJ reports:

Ben Schachter of Macquarie Capital estimates that Apple Music will average 40% annual growth over the next three years, making it the fastest-growing part of the company’s services segment. Apple is expected to report total service revenue of $8.3 billion for the fiscal second quarter being reported on May 1—up 18% on year.

Expect increased competition between Apple Music and Spotify with new features, discounts and more exclusives.  All should be on full display during a major Spotify press event scheduled for next week and its first quarterly earnings report the following week.

MORE: Spotify To Announce Major Mobile Updates Next Week