Does Amazon Own Spotify? (2023)

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In this technological world, it is hard to believe someone doesn’t know about Amazon or Spotify. These are two renowned names in this field. Amazon is a tech giant serving many nations across the world. It came into being in 1994 by Jeff Bezos. Its expansion and progress in the years after its foundation have made it the top choice for most shoppers. On the other hand, we are familiar with Spotify, as it is a Swedish audio streaming media services provider headquartered in Stockholm, Sweden. Daniel Ek and Martin Lorentzon founded this platform in the year 2006. Spotify is a significant service provider having more than 456 million subscribers worldwide. The current CEO of the Company is Daniel Ek.

Does Amazon Own Spotify?

A misconception prevailing on social media platforms may be heard as Amazon has owned Spotify. But the same answer to this question is no. Amazon has yet to own Spotify and did not announce its intention to buy it. Both companies are famous for their music streaming services. Amazon has a streaming channel called Amazon Music, where you can listen to different music. Amazon Music is much similar to Spotify. This misconception prevailed due to some facts like Amazon has authorized people to use their Amazon pay balance to purchase and subscribe to the Spotify membership program. Moreover, the Amazon Application store has offered this application to be downloaded. So many people thought that Amazon owned it due to these facts. But actually, Amazon has yet to own Spotify. 

Who owns Spotify?

Spotify is a company owned by its founders, Daniel Ek and Martin Lorentzon.

Daniel Ek

According to Company’s annual report 2021, Daniel Ek has 16.7% ownership of ordinary shares and 31.9% of the voting power. He is the co-founder and chief executive officer (CEO) of Spotify. 

Sven Hans Martin Lorentzon

He is the co-founder of Spotify, representing 21 million shares of Spotify. He owns 10.9% of the total outstanding shares reported by the Company’s 2021 annual report. Mr. Lorentzon currently serves as the Company’s vice chair. He has been responsible for designing strategies, budgets, and goals. After that, he implemented the structured formula for the Company.

Baillie Gifford & Co.

He owns 11.5% of the total outstanding shares and 22 million shares of Spotify. Baillie Gifford is known to have an investment management firm with over $335.8 billion in AUM across a range of assets. 

Morgan Stanley

Morgan Stanley is a multinational investment bank. It owns 17.3 million shares of Spotify, representing 9% of the total shares outstanding. The firm offers a diverse range of mutual funds.

Tencent Holdings Ltd.

Tencent is a China-based multinational technology holding company. Tencent Holdings owns 16.6 million shares of Spotify, having an 8.7% of the total shares outstanding. It provides social networking, payment systems, mobile games, e-commerce, internet services, entertainment, and more. It is also known to have equity securities.

Rowe Price Associates Inc.

This Company owns 14.3 million shares of Spotify and represents 7.4% of total shares outstanding, T. Rowe Price Associates is in partnership with T. Rowe Price Group Inc. The firm exchange both traded and mutual funds.

What services does Amazon Music offer?

According to Statistics, Amazon Music had 30.4 million listeners in the United States in 2018. Around 90 million songs are added to Amazon Music. These songs are available in lossless HD quality, tracks in Ultra HD, and expert-programmed playlists.

What services does Spotify offer?

Spotify is well known for giving following services like

  • Over 80 million tracks
  • digital music
  • Podcast,
  • Video services
  •  Access to millions of songs
  • Other content from creators

Creators are available here from all over the world. Primary services, such as playing music on Spotify, are free. You can also decide to upgrade to Spotify Premium.

Comparative Revenue Stats 

Although both companies are progressing and serving millions of people, there is still a major difference between the two. In the year 2021, Amazon earned total revenue of 469.8 billion USD. Net sales of Amazon are expected to be between $140.0 billion and $148.0 billion in the year 2022. But Amazon earned this revenue from all other services, including Premium subscriptions, digital market, and cloud computing services. While on the other hand, Spotify mainly earns its revenue from audio streaming. In the year 2020, Spotify earned total revenue of $7.88 billion. This expanded to a larger pace in the year 2021; the total revenue earned by Spotify was $9.66 billion. 

Spotify Subsidiaries 

Some Spotify Subsidiaries include following 

  • Sonalytic Ltd.
  • Spotify Limited
  • Spotify India Private Limited
  • Soundtrap AB
  • Spotify USA
  • Spotify Mexico
  • Spotify AB

Amazon Subsidiaries

Here are some subsidiaries of Amazon mentioned below. Although it does not own Spotify, it has an inquisition on many other companies.

  • Audible
  • Amazon Fresh
  • Ring
  • Abebooks
  • Woot
  • Amazon Go
  • Shopbop
  • Blink Home 
  • eero
  • ComiXology and more.

Conclusion;

Amazon has not owned Spotify. These are two different entities. These are offering millions of tracks to millions of listeners. Amazon Music and Spotify are progressing at a larger pace. 

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