Spotify is raising the prices for its premium users as part of a plan to make more money and stop losing money.

In the U.S., the monthly fee for premium users will go up to $10.99. This brings Spotify in line with rivals like Apple Music and Amazon Music, which raised their prices last year. But, at $9.99 per month, YouTube Music is still a bit cheaper.

The Family plan will go up by $1 to $16.99, and the Student plan will go up by $1 to $5.99. The Premium Duo plan will go up by $2 to $14.99 per month.

Since it started, Spotify has been trying to change with the way the market works. With this choice, it wants to keep the platform valuable for both fans and artists.

As of March 31, Spotify was losing money even though it had 210 million paying subscribers around the world, which was a 15 percent rise from the year before. It also had 515 million monthly active users. After a “very modest underperformance in advertising” income in the first quarter of 2023, the company has been looking into ways to cut costs.

Major label partners like Universal Music Group and Warner Music Group should gain from the price change because it will help them make more money from audio streaming from their artists.

Spotify gives 70% of subscription and advertising fees to rightsholders, and in 2022, major labels made up 75% of all streams of music from record labels on the site.