The era of streaming new albums on Spotify may soon come to an end for free users. The company is currently renegotiating its now expired licensing deal with major labels and has reportedly agreed to restrict some high-profile releases to only paying users.
The move was made in an effort to reduce royalty fees it pays to record labels ahead of an impending IPO, The Verge reports. Spotify serves 50 million paying subscribers around the world — a 40 percent increase from the year prior.
Despite being dogged by big name artists and their record labels, the Swedish streaming company has more than doubled Apple’s recently reported figure of 20 million subscribers and dwarfs Tidal’s 3 million.
There’s no word on whether the deal has gone through yet, but when it does, we will keep you updated.