Spotify is planning to raise subscription prices in the U.S. in the first quarter of next year, according to a new report from the Financial Times. The move will mark the streaming service’s first price rise in the U.S. since July 2024. The company recently raised prices in several other countries, including the U.K., Switzerland, and Australia.

A Spotify subscription currently costs $11.99 a month in the U.S. When the service first launched in the country 14 years ago, it cost $9.99 per month.

The report says JPMorgan analysts have estimated that a $1-per-month price increase in the U.S. could increase Spotify’s annual revenue by about $500 million.

Additionally, major record labels have been urging Spotify and other music streaming platforms to raise subscription prices, arguing that fees have not kept pace with inflation and remain low when compared to services like Netflix.

The report comes a few weeks after Spotify announced that its founder, Daniel Ek, is stepping down as CEO. The company is replacing Ek with two co-CEOs: Gustav Söderström, the current co-president and chief product and technology officer at Spotify, and Alex Norström, co-president and chief business officer.