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Music is booming again

        The music industry was in crisis just a few years ago. Sales were cut in half from their peak as single downloads, YouTube and piracy made the CD album go virtually extinct. But music has found its white knight: streaming.

Last year, recorded music revenues in the United States went up by 13% to $11.1 billion — the highest level since 2006. That persuaded Warner Music Group and Universal Music Group, two of the biggest music companies that represent stars like Bruno Mars and Taylor Swift, to announce plans to go public.                                 

The Music streaming boom

In 1999, the music industry was at its peak, bringing in more than $14.5 billion in domestic revenue. Most of that was thanks to CDs, which accounted for roughly 89% of that number, according to the Recording Industry Association of America.

At the industry's low point in 2014, the music sales only brought in $6.7 billion domestically. Music downloads via iTunes and others had been growing for a decade, but that wasn't nearly enough to make up the ground loss by the erosion of consumers buying physical media.

                                        

After years of declines, the music industry began to rebound around 2016 thanks in large part to music streaming.

Music streaming — which includes paid streaming, ad-supported streaming and streaming radio — represented about 5% of the music industry's revenues in the US in 2009. In 2019, that number had grown to roughly 80%, according to the RIAA.

And music streaming services don't appear to be slowing down anytime soon.

I believe we will always enjoy the streaming services, cause we all do not want to see music disappear, our biggest entertainment of all time and we all get great joy out of streaming services like spotify.

by Andre Loubser

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