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FindArticles > News > Technology

Spotify Raises Prices Again; Cheaper Premium Alternative

Gregory Zuckerman
Last updated: January 21, 2026 9:07 pm
By Gregory Zuckerman
Technology
6 Min Read
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Spotify is raising rates across its Premium tiers, pushing individual plans to $12.99 a month and nudging Duo and Family even higher. If you felt the last hike, this one stings more. After testing rivals for a week, I found a cheaper service that delivers the same core Premium perks — ad-free listening, offline downloads, on-demand play — without the new sticker shock.

What Changed and Who Pays More on Spotify Now

Subscribers have begun receiving notices that prices are being “updated” to maintain service quality. The new line-up: Individual rises to $12.99 a month, Student to $6.99, Duo to $18.99, and Family to $21.99. The increase hits on your next billing cycle, and it follows prior adjustments in recent years.

Table of Contents
  • What Changed and Who Pays More on Spotify Now
  • The Cheaper Alternative With Premium Perks
  • How the Listening Experience Compares Across Apps
  • Ways to Pay Less on Spotify Without Switching Services
  • Why Streaming Music Price Hikes Keep Coming Back
  • Bottom Line on Spotify’s Price Hike and Alternatives
The Spotify Premium logo on a green background, resized to a 16:9 aspect ratio.
  • Individual: $12.99 a month
  • Student: $6.99 a month
  • Duo: $18.99 a month
  • Family: $21.99 a month

Spotify remains the market leader, with over 600 million monthly active users and more than 240 million paying subscribers, according to company disclosures. But leadership comes with pressure to improve margins, and price rises have become a key lever across the streaming industry, as noted by analysts at MIDiA Research.

The Cheaper Alternative With Premium Perks

For a like-for-like experience at a lower price, Tidal’s standard plan is $10.99 a month and includes ad-free music, unlimited skips, offline downloads, and high-quality lossless streams. In other words, the everyday “Premium” benefits you expect — plus audio fidelity that many listeners will actually hear on decent headphones.

If you prefer to stay deeply integrated with a phone ecosystem, Apple Music is also $10.99 and offers similar perks, including Spatial Audio on compatible tracks. On Android, YouTube Music lands at $10.99 for ad-free, background play in the Music app and offline listening. Each comes with a library north of 100 million tracks; Tidal lists more than 110 million and supports formats like FLAC and Dolby Atmos.

How the Listening Experience Compares Across Apps

Switching my daily commute playlist from Spotify to Tidal took a few minutes using a playlist-transfer tool. Recommendations felt generic on day one, then sharpened after a handful of likes and skips. That’s normal: algorithms need fresh signals before they get personal again.

Sound quality was the immediate standout. With lossless tracks on Tidal, cymbals and vocal reverb had more air compared with Spotify’s 320kbps streams. Apple Music’s lossless catalog offered a similar lift, and its Spatial Audio mixes were surprisingly good on recent pop and jazz releases. YouTube Music matched the core features but prioritized convenience and catalog breadth over audiophile ambitions.

The Spotify Premium logo, featuring a bright green circle with three black horizontal sound waves, centered above the white text Spotify Premium on a dark gray background with subtle geometric patterns.

For features beyond music, Spotify still has the most unified experience for podcasts and audiobooks. But if your priority is ad-free, on-demand music with offline downloads — the classic “Premium” checklist — Tidal, Apple Music, and YouTube Music all hit the mark at a lower monthly cost.

Ways to Pay Less on Spotify Without Switching Services

If you’re committed to Spotify’s ecosystem, there is one straightforward workaround: buy a $99 annual gift card where available. That nets out to roughly $8.25 a month, far below the new $12.99 monthly rate. The catch is you pay upfront and can’t cancel halfway, so it suits listeners who know they’ll stick around.

Duo and Family households should also audit who’s actually using the plan. Consolidating unused seats or moving to an individual plan can trim costs without changing services. For students who qualify, the Student tier remains a strong discount even after the increase.

Why Streaming Music Price Hikes Keep Coming Back

As streaming matures, labels and platforms are renegotiating economics. The IFPI’s Global Music Report shows streaming drives the majority of recorded music revenue, and modest annual increases have become normalized across services. Spotify has also invested heavily in podcasts and audiobooks, which can raise costs before they boost profits.

For consumers, the upshot is choice. Competition has kept at least three credible rivals at $10.99, including one with lossless by default. If you’re price-sensitive, switching is painless; if you’re ecosystem-loyal, the annual card softens the blow.

Bottom Line on Spotify’s Price Hike and Alternatives

Spotify’s latest increase pushes Premium to $12.99, but you don’t have to pay more to keep the same core benefits. Tidal, Apple Music, and YouTube Music each deliver ad-free, offline, on-demand listening for $10.99. I’m sticking with the cheaper plan for now — and keeping an eye on the next round of price moves.

Gregory Zuckerman
ByGregory Zuckerman
Gregory Zuckerman is a veteran investigative journalist and financial writer with decades of experience covering global markets, investment strategies, and the business personalities shaping them. His writing blends deep reporting with narrative storytelling to uncover the hidden forces behind financial trends and innovations. Over the years, Gregory’s work has earned industry recognition for bringing clarity to complex financial topics, and he continues to focus on long-form journalism that explores hedge funds, private equity, and high-stakes investing.
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