Spotify expected to report subscriber slowdown as CEO eyes $2B football team buy

Spotify is expected to announce slowing subscriber growth during its earnings call later this week at the same time that its CEO is publically eyeing a $2 billion football team purchase.

Spotify had already warned investors that user growth could fall as much as 10% this year. But if recent Netflix numbers are any indicator, the drop could be far worse.

Netflix just reported a dramatic slowdown in subscribers in Q1 2021. The streamer added 4 million new subscribers in the first quarter, 2 million less than its original estimate of 6 million and a half the 8 million it had added in the same period in 2020.

Ek’s $2B Childhood Dream

Also drawing investor attention – and ire from artists – is Spotify CEO’s very public interest in buying UK footballers Arsenal FC for a reported $2 billion.

Ek tweeted his childhood support of the club and that he would like to acquire it if the owners are willing to sell.

Musicians React

Musicians and music fans reacted to the report with dismay that EK and Spotify could buy a $2 billion team but can’t pay artists more.

One fan tweeted, “If the Spotify CEO buys Arsenal does that mean the players don’t get paid anymore?”

Charlatans frontman Tim Burgess wrote more diplomatically: “Could we ask that you get things sorted out with musicians before jumping in with footballers??”