Spotify Is Being Pushed Out of Uruguay
UPDATE 12/12/2023: Spotify will remain available in Uruguay and will continue to give artists the opportunity to live off their art. Meanwhile millions of fans still have the chance to enjoy and be inspired by their favorite artists. To learn more, click here for the most up-to-date information.
Unfortunately, Spotify will begin to phase out its service in Uruguay effective January 1, 2024, and fully cease service by February.
The government of Uruguay recently passed a budget bill that includes dramatic changes to the way music works in the country (the Rendición de Cuentas). Spotify already pays nearly 70% of every dollar it generates from music to the record labels and publishers that represent and pay artists and songwriters and has contributed more than $40B to date. The changes in this bill could force Spotify to pay twice for the same songs and unless the government makes it clear that record labels and publishers to whom we pay that ~70% should bear the responsibility for these costs, this will make our business of connecting artists and fans unsustainable.
We want to continue giving artists the opportunity to live off their art and billions of fans the opportunity to enjoy and be inspired by it. However, at this stage, Spotify has no choice but to stop being available in Uruguay.
For our users and subscribers in Uruguay, this is what today’s news means for you:
We will stop billing Spotify Premium subscribers in December, and you will be able to enjoy your last full month of Premium. After this, you will be moved to a Free account until the service is suspended on February 1st. You can check your billing date here. After December 28, it won’t be possible to start a new subscription and after February 1st, Spotify will not be available in Uruguay.
We are also contacting artists and creators directly about what this means for them.
For more information on the global streaming economy, the players, and the process, visit our website Loud & Clear.