Spotify is betting big on India’s subscription economy, with the audio streaming giant projecting that the country could eventually contribute more than 150 million paid subscribers as rising digital adoption and consumer spending reshape entertainment consumption.

“With 1.4 billion people and rising consumer spending, we can imagine a future with more than 150 million subscribers in India,” Gustav Gyllenhammar, senior vice president of markets and subscriptions at Spotify, said during the company’s 2026 Investor Day on Thursday.

Can India become Spotify’s next major subscription growth engine?

India has emerged as one of Spotify’s most strategically important markets globally. The company said it added three times as many net subscribers in the country in 2025 as compared to 2022, while its subscriber base in India has grown sevenfold since its last investor day in 2022. Though Spotify did not disclose exact subscriber numbers, industry estimates peg its monthly active users (MAUs) in India at around 80-90 million. Globally, the company reported 761 million MAUs at the end of the first quarter of 2026.

“When we launched in India in 2019, we were the 10th player in one of the most competitive streaming markets in the world. Today, we are the leader in audio streaming,” Gyllenhammar said.

Amarjit Batra, managing director, Spotify India, had earlier told Fortune India that the company continues to see strong momentum in premium subscriptions driven by younger listeners, regional music adoption and rising willingness among consumers to pay for personalised audio experiences.

The company believes India’s low premium penetration offers significant headroom for growth. Less than 10% of Spotify’s users in India currently pay for subscriptions, but the company sees this as a long-term monetisation opportunity rather than a challenge.

Spotify has increasingly tailored its India strategy around local consumer behaviour. The company said UPI AutoPay now contributes more than 90% of its subscription intake in India while reducing payment processing costs significantly compared to credit cards. Over the years, Spotify has also experimented with shorter-duration subscription packs and feature restrictions on its free tier to push premium adoption.

How is Spotify reshaping its premium strategy in India?

The company recently revised its subscription offerings in India after rolling out a three-tier premium structure in late 2025. Spotify has now discontinued its entry-level Premium Lite plan. Premium Standard is currently priced at ₹139 per month, down from Rs 199 earlier, while Premium Platinum continues at ₹299 per month. The Student plan is available at ₹69 per month.

The company believes differentiated pricing and premium experiences will help deepen monetisation in a market where paid music streaming is still evolving. According to Gyllenhammar, over 7% of Spotify’s subscribers have already opted for the higher-priced Premium Platinum tier, signalling a growing appetite for premium audio experiences in India.

Spotify’s bullish outlook comes amid consolidation in India’s music streaming market. Airtel shut down Wynk in 2024, while ByteDance-owned Resso and Hungama Music also exited over the past two years, narrowing competition largely to YouTube Music, Apple Music, Amazon Music and JioSaavn.