Spotify stock jumps 11% on report of price increases in US, UK, AU

UPDATED: Spotify plans to raise the price of paid subscription service in multiple markets later this month and in the U.S. later in the year. The news sent Spotify stock [NYSE: SPOT} up 8.15% on Wednesday, and momentum continued with another 3% increase in late morning trading Thursday.

Bloomberg reported Wednesday that Spotify subscriptions will increase by $1 a month for individual plans and $2 for family and duo plans in the U.K., Australia, and Pakistan by the end of April. A price increase in the US will follow later this year, and increases in other territories are under consideration.

The streamer will also launch new subscription plans, including a super-premium plan with high-rez audio and another that does not include audiobooks.

In July of last year, Spotify raised prices $1 to $2 per month in 50 markets, including the US, UK, Europe, South America, and Asia, following similar increases by Apple Music and other music streaming competitors months before.

Bruce Houghton is the Founder and Editor of Hypebot, a Senior Advisor at Bandsintown, President of the Skyline Artists Agency, and a Berklee College Of Music professor.