Spotify Invests Over $100 Million in Podcast Creators to Compete with YouTube
Spotify has committed more than $100 million to podcast publishers and creators since January through an innovative program launched in 2025. This initiative seeks to draw more talent to the platform and counteract the growing trend of video podcasting, primarily dominated by YouTube. According to a report by Edison Research, over half of Americans aged 12 and older have watched a video podcast, and YouTube remains the leading platform for this format.
Despite Spotify’s claims of reaching 1 billion podcast listeners monthly, the platform has approximately 170 million monthly podcast listeners compared to YouTube’s massive payouts—over $70 billion to creators from 2021 to 2024. As Spotify prepares to report earnings this week, projections indicate about 540 million euros in pretax income from 4.2 billion euros in sales.
The new partner program marks a shift for Spotify, which previously compensated creators mainly via advertising revenue sharing. Now, eligible creators can earn additional income based on engagement from premium subscribers watching their videos. This change is a strategic move to attract more viewers and talent, coinciding with Spotify’s announcement that certain paid subscribers would be exempt from watching dynamic ads in video podcasts.
Podcasts like "Just Creepy: Scary Stories" have benefited significantly, with host David Coles reporting a revenue increase from approximately $45,500 to $81,600 after joining the program. Comedy network YMH Studios also noted a tripling in quarterly Spotify revenue post-participation.
As Spotify continues to evolve, creators are optimistic about the potential of this new payment structure, with YMH Studios’ advertising head calling it a “game-changer.”
Note: The image is for illustrative purposes only and is not the original image of the presented article.
