2025 Music Industry Revenue Hits $31.7 Billion, Streaming Remains Dominant While Vinyl Surges

The global recorded‑music market reached a record $31.7 billion in 2025, a 6.4 % jump from 2024, and the International Federation of the Phonographic Industry (IFPI) confirmed that streaming remains the primary revenue driver.

In the United States, the Recording Industry Association of America (RIAA) reported that 84 % of total music‑industry revenue in 2024 came from streaming and downloads. The same report shows that paid subscriptions, ad‑supported services, and social‑media‑based music platforms generated $14.9 billion in 2024. The RIAA’s 2025 year‑end report lists wholesale revenue of $11.5 billion, a 3.1 % rise from the previous year.

Worldwide, music‑streaming services logged more than 5 trillion song streams in 2025, a 9.6 % increase from 2024 and a new single‑year record. The growth is largely driven by the continued expansion of subscription services and the high volume of daily uploads – Luminate’s 2024 year‑end data shows that users add roughly 99,000 new songs to streaming libraries each day.

Vinyl sales have returned to the top of the physical‑media chart. For the nineteenth consecutive year, revenue from vinyl records climbed in 2025, reaching $1.04 billion in the United States, according to a 2026 RIAA report. The figure represents a nearly 10 % rise from the previous year and accounts for about 50 % of the total vinyl market.

The music‑industry workforce remains sizeable. The RIAA’s 2024 data indicates that the industry directly or indirectly supports 2.5 million jobs in the United States. In 2018, the average annual salary for music‑industry workers was $41,935, a slight decline from $42,333 in 2012.

Streaming’s payment model has reshaped artist releases. The Verge reports that a stream is counted only if a listener plays a track for at least 30 seconds. This rule has encouraged some artists to include many short songs on an album to increase the number of qualifying streams.

The industry also continues to grapple with gender disparities. A 2012‑2018 Billboard study found that women made up just 21.7 % of all artists, 21.1 % of producers, and 12.3 % of songwriters among the top‑charting acts.

Major labels still dominate the market. According to Statista data, Universal Music Group holds 29 % of the U.S. market, Sony Music Entertainment 20 %, and Warner Music Group just under 16 %. Together, the three majors account for roughly 65 % of the total U.S. share.

The cost of launching an independent label remains modest. The Balance estimates that a small label can be set up for $20,000–$50,000, covering registration, licensing, equipment, and initial promotion.

The industry’s revenue mix is heavily weighted toward streaming. Citibank notes that artists receive only about 12 % of total revenue, with the remainder going to distribution platforms and record labels. Record labels typically invest $1 million per new act, covering advances, studio costs, touring support, and marketing.

In 2025, the RIAA’s certification system continues to recognize commercial success, but the organization does not produce the physical plaques that artists often display. Winners must purchase plaques from licensed framers.

The industry’s future growth is projected to reach roughly $200 billion by 2035, according to a Goldman Sachs report. The forecast attributes most of the expansion to streaming, while digital downloads and physical sales are expected to decline.

These figures illustrate that while the music‑industry landscape has shifted dramatically from the 1990s, it remains a robust, multi‑billion‑dollar sector driven by digital consumption, a resilient vinyl market, and a workforce that continues to support millions of jobs worldwide.