For the first time, the global music industry is worth more than 30 billion dollars. Global revenue from recorded music reached 31.7 billion dollars in 2025, an increase of 6.4% compared to the previous year. This is according to the Global Music Report 2026 by the organization IFPI. It marks the eleventh consecutive year of growth for the music industry.
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The International Federation of the Phonographic Industry (IFPI) is the global trade association that represents the interests of the music industry and record companies. For example, the organization advocates for the value of recorded music and combats piracy. It also compiles official global statistics and market reports on the music industry, such as the annual Global Music Report.
Streaming remains the largest source of revenue
Streaming remains by far the most important source of revenue within the music industry. Total streaming revenue, including subscriptions and ad-supported services, exceeded $22 billion in 2025. This makes streaming revenue 69.6% of the recorded music market. Paid subscriptions account for 52.4% of revenue and grew by 8.8% compared to last year. The number of paid accounts rose to 837 million worldwide.
According to IFPI head Victoria Oakley, the growth is due in part to a combination of strong artists and industry investments. “Global growth is driven by great music from exceptional artists, supported by partnerships with and investments from record labels, with more people than ever paying to connect with music worldwide via paid streaming services.”
Physical sales grow again
Also noteworthy is the renewed growth of physical music formats. Revenue from physical sales rose by 8% to approximately 5.3 billion dollars. Vinyl sales accounted for a large share of this, seeing growth for the nineteenth consecutive year with a rise of 13.7%. CDs and music videos also showed an increase again. According to IFPI, the physical market grew faster than the digital market for only the second time, partly due to a recovery in Japan, the world’s largest physical market.
Growth in all regions
Regionally, growth was recorded in all parts of the world. Latin America (+17.1%), the Middle East and North Africa (+15.2%), Sub-Saharan Africa (+15.2%), and Asia (+10.9%) experienced particularly strong increases. China grew by 20.1% and is now the fourth largest music market in the world, after the United States, Japan, and the United Kingdom.
Concerns about AI and streaming fraud
Despite the growth, the report also points to two major challenges for the sector: generative AI and streaming fraud. IFPI advocates for new licensing models for the use of music in AI applications and stricter measures against the manipulation of streaming figures.
“Streaming fraud is theft, it’s as simple as that”, says Oakley. “Organizations that have the data, scale, and resources to prevent these fraudulent activities must take decisive action.”
Read the full IFPI report here.
Pictures from: IFPI Global Music Report 2026
