MUSIC REVENUE TOPPED $17B IN 2023: RIAA

Recorded-music revenue rose for the eighth consecutive year, hitting $17.1b, the highest topline number the RIAA has reported. Overall, growth was up 8%.

Streaming represents 84% of total revenues, reaching $14.4b in 2023 with an all-time high of 96.8m paid subscriptions to on-demand services. Revenues from paid subscriptions grew to $11.2b , accounting for 78% of streaming revenues and nearly two-thirds of total revenues.

Music revenues from advertising supported on-demand services (YouTube, the ad-supported version of Spotify, Facebook and others) rose 2% to $1.9b. Ad-supported services contributed 11% of total 2023 recorded music revenues.

Physical formats continued their resurgence, up 11% to $1.9b as vinyl again led the way, rising for the 17th consecutive year. Up 10% to $1.4b, vinyl outsold CDs in units, 43m vs. 37m, for only the second time since 1987. CDs were up 11% to $537m.

“Recorded music keeps reaching new heights as labels’ ‘all of the above’ commitment to meet fans everywhere they want to be continued to pay off for the entire music community,” said RIAA Chairman & CEO Mitch Glazier. “Licensing of social networks, fitness apps, and short form video are adding new value and physical sales once again boomed, with vinyl records delivering yet another double-digit increase.

“For artists, songwriters, and fans, this strong and sustained growth signals a time of incredible opportunity—with new formats, styles, and sounds rising up across innovative platforms and emerging ways to listen. As new services continue to get fully licensed at rates reflecting music’s incredible value, revenue for artists and songwriters will only continue to grow.

Downloads, which brought in $434m, accounted for just 3% of U.S. recorded music revenues in 2023.

Get the full report here.