After raising prices in Japan, Amazon is also raising prices for Amazon Music Unlimited in the US.
Tokyo outlets first reported an increase in prices for Amazon Music Unlimited a few days ago. Now this news has been reflected on the Amazon website in the USA. A new section in the Customer Assistance and Solutions section explains the pricing effect. “To help us provide you with even more content and features, we are updating prices for some Amazon Music Unlimited plans.”
What Amazon Music Unlimited plans are affected?
Amazon reports that the new price level begins on February 21, 2023 — the same day that prices changed in Japan. Anyone with an individual Amazon Music Unlimited plan will now pay $10.99 per month for the service—an increase of $1. Similarly, the student plan suffered: it increased to $5.99 per month from $4.99 per month. The move is part of several other cost-cutting measures, such as laying off 18,000 employees and ending the AmazonSmile charitable donation program.
But Amazon is not the first major technology company to raise prices for its music plans. Apple has raised the prices of its customized Apple Music plans, and Spotify seems ready to follow suit. Making this statement, Apple called the music licensing fee the main reason for the price increase.
Now that Amazon Music Unlimited has raised individual non-Prime prices, it is once again on par with Apple Music in terms of cost. Both Apple Music and Amazon Music Unlimited offer access to HiFi music at no extra cost – a move Spotify seemed to shy away from. Spotify HiFi was announced in February 2021 and is still unavailable. There have also been rumors of a Spotify Platinum plan that includes lossless listening, but so far nothing.
Thanks to the NMPA, streaming royalty rates for songwriters will increase from January 2023 to December 2027. These rates increase from 15.1% of revenue in 2023 to 15.2% in 2024, and then increase by five basis points in each of the remaining three years. The peak of rates at the level of 15.35% falls on 2027, the last year of the term.