It was recently reported by Variety that according to a new study, Spotify risks losing 19% of its users following the controversy revolving around Joe Rogan’s podcast and some artists’ decisions to remove their music from the platform.
As you probably remember, Neil Young harshly criticized Spotify for allowing Joe Rogan’s podcast to spread misinformation about COVID-19. Later on, he threatened Spotify to remove his music from the platform, but Spotify didn’t step back and removed his entire catalog instead of canceling the podcast. Then, Joni Mitchell and CSNY members also decided to withdraw their music from the platform to show their support for Young.
After all these, it was a matter of curiosity what kind of an impact that would make on Spotify’s overall income. The platform has faced a severe backlash, and some users created hashtags on social media to encourage people to delete and cancel Spotify. It was reported by Variety that a new study was conducted by Forrester Research to reveal the listeners’ reaction to this incident.
According to the results, 19% have already canceled their Spotify subscriptions or plan to do it in the near future. The study also showed that 54% of Spotify users have no intention of canceling their plans. On the other hand, 18.5% stated that they would consider canceling their subscriptions if more artists decide to remove their music from the platform.
8.5 % of the participants said that they considered canceling their subscriptions, but the service Spotify provided for them was much more important. After the Joe Rogan controversy, the streaming platform has already lost more than $2 billion in market value, and their shares have decreased more than 10%. It looks like the controversy will have a huge impact on the platform if the users seriously consider canceling their subscriptions.