Spotify confirmed it reached 60 million paying subscribers as Financial Times (FT) reported the music streaming app maker is gearing up to go public later this year and will list shares directly on the New York Stock Exchange.
The company added 10 million paying users between March and July, and also boasts 100 million customers who use the service for free. In comparison, Apple Music counts 27 million subscribers in all, though the service does not offer a free option.
Spotify was valued at $8.5 billion in a funding round in 2015. While its revenue is on the rise – it made €2.9 billion in 2016 – its net losses have widened because of rising royalty and distribution fees.
A direct listing would mean the company could avoid some of the cost of a traditional IPO, although it will likely hold a roadshow to promote the listing, FT reported.
Spotify recently came to an agreement to pay lower royalties to music labels in exchange for restricting some album releases to its paid service for a few weeks.