Qobuz, a premium HD-audio streaming service, has revealed industry-leading financial metrics according to an independent audit for the year ending March 31st, 2024.

The platform reported an annual ARPU (Average Revenue Per User) of $121.13, significantly higher than the industry average of $22.38 across competing services. For comparison, Spotify's Premium ARPU stands at approximately $61 in 2024.

Qobuz achieved an average per-stream royalty rate of $0.01873, exceeding the industry's typical "penny per stream" benchmark. This higher payout rate is attributed to several factors, including:

• No ad-supported tier
• Focus on premium HD audio content
• Direct sale of permanent downloads
• Emphasis on music-first content strategy

Georges Fornay, Qobuz deputy CEO, emphasized this disclosure as "a necessary first step toward promoting a fairer and more sustainable streaming model."

Key Competitive Advantages:

• HD audio quality (still unavailable on Spotify)
• Music-focused platform without podcast/audiobook dilution
• Higher artist compensation rates
• Quality-controlled content library with minimal AI-generated material

Despite these advantages, Qobuz faces significant scaling challenges. The service currently maintains a smaller market share in the U.S. compared to major competitors like Spotify and Apple Music, according to DMN Pro data.

The platform's business model presents a compelling alternative in the ongoing "Streaming 2.0" discussion, particularly for users prioritizing audio quality and fair artist compensation. However, its ability to challenge larger, well-established streaming services remains uncertain as it balances premium positioning with market growth objectives.

Related Articles

Previous Articles