Spotify Technology S.A. (NYSE:SPOT) has begun rolling out lossless audio streaming for Premium subscribers in select markets, delivering one of its most requested features as competition in music streaming intensifies. Eligible users will receive in-app notifications as the upgrade becomes available.
The launch comes as Spotify prepares for additional price increases to offset higher licensing and AI investment costs.
The new option supports playback up to 24-bit/44.1 kHz FLAC, offering significantly higher fidelity than standard streaming. Spotify has positioned the launch as part of its strategy to strengthen user engagement and reinforce the value of its paid tier.
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“We’ve taken time to build this feature in a way that prioritizes quality, ease of use, and clarity at every step, so you always know what’s happening under the hood,” said Gustav Gyllenhammar, Spotify’s vice president of subscriptions. “With Lossless, our premium users will now have an even better listening experience.”
This new feature expands Spotify’s Premium-only suite, which already includes its AI DJ and AI Playlist. Management has consistently emphasized these tools as a way to drive subscriber growth and reduce churn as competition in music streaming intensifies.
Premium subscribers can now customize audio quality across Wi-Fi, cellular, and downloads, with data usage displayed for each setting. Lossless streaming works across mobile, desktop, and tablet apps, as well as via Spotify Connect on devices from Sony, Bose, Samsung, and Sennheiser, with Sonos and Amazon support due next month.
The rollout will expand to more than 50 markets through October, starting with the US, UK, Germany, Japan, Australia, and others. Users must manually enable lossless audio on each device, with an indicator appearing once it is active.
Price Action: SPOT stock is trading lower by 1.29% to $695.00 premarket at last check Thursday.
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