The AvA Connection

🫖 The Tea:

Spotify celebrates it’s first full year of profitability and sets new Q4 earnings record, and below is a deep dive on the numbers:

• They added 73 million subscribers last year, which is an +11% YoY (year over year). Spotify is now up to 263 million total paid subscribers

• The company posted its first ever annual profit ($1.2 billion)

• Monthly active users reached 675 million, +12% YoY

• Spotify stock is up is 28% in the past month, and the company is currently worth $120 billion (more than all three major record labels).

Note: MAUs = Monthly Active Users

In related news, The National Music Publisher’s Association (NMPA) issued 2,500 podcast takedown actions against Spotify, claiming infringement of songs. This is the NMPA's latest response since the streaming service reclassified its premium subscriptions as 'bundles' in March, thus lowering royalties for publishers. At first I thought this was as petty as Kendrick winning 5 Grammy’s for a diss track, but it turns out the NMPA’s decision is justified.

Spotify has already replied calling the above a “press stunt.” More on that here.

Netflix has stopped communicating directly with the lead of 13-time Oscar nominated lead for ‘Emilia Peréz,’ Karla Sofía Gascón, and will not cover any expenses for her travel during awards season. This is a direct response to old tweet’s coming to the surface about a multitude of societal issues. Have some tea while the kettle is still warm, and read more about the story here.

Songs are reaching 1 billion streams faster than ever before (see Chartmetric’s findings above). Traditionally it’s taken years to reach these heights, but now it can take just a few months thanks to TikTok and as a byproduct of the rapid ascent of streaming (obviously, but still crazy to see it visually).

YouTube’s quarterly ad revenue topped $10 billion for the first time in Q4 of 2024. Google’s parent company Alphabet announced that revenue from YouTube ads jumped 13.8% YoY in Q4 2024 to $10.47 billion from $9.2 billion. Breakdown here.

Apple Music seeks to take a piece of that pie as they unveil their ‘best offer ever’ with a deal for 6 months of the service for only 2.99. Feels like a move out of a place of "we are threatened by Spotify & Amazon Music and see this as an oppertunity to grab market share after they just raised prices.” More info here.

Deeper Context: As per DemandSage, Apple Music currently sits at 93 million subscribers, followed closely behind by Amazon Music who has 80 million subscribers as per Business of Apps.

According to Lucas Shaw (a great follow on LinkedIn) mini dramas or web series that run 60 to 90 seconds are now a bigger business than movies in China. Wild. We are goldfish. Check out his deep dive here.

🎙️ The Call Log….YOU!

We asked our community of 150k+ Entertainment Professionals a simple question:

“What is one piece of advice for people trying to succeed in the Entertainment Industry?” 

My favorite answers are below (in no particular order):

• Never be ashamed to ask for help. You won’t get anywhere alone.

• Meet up IRL. People do favors for people not email addresses.

• Be kind and be nice.

• Find a boss your admire and who has the job you want.

• I got my job through a cold email. Never be afraid to shoot your shot.

• Don’t burn bridges!

• Find a mentor. A true mentor. Someone you can share ideas with and ask questions.

• Don’t be afraid to have an opinion, and don’t be afraid to share it… in a respectful manner.

• Remember: It’s just a job, so find things outside of work that make you happy!

• Everyone’s path looks different. It’s never too late and you’re never too old. Life experience is a plus.

• Work Hard. Vacation Harder.

• Don’t lose touch of what is meaningful and fun to you in the chase for raises and promotions.

• Network like crazy. And when you’re in a position to help someone else, always do it.

• Find your people to grow with. They will motivate you and get you through all the ups and downs.

• Good things come with time. Be patient and kind to yourself first.

• If you need to get sober - get sober. Believe it or not, there are A LOT of sober people in the business and people out there who are willing to talk and help.

• Don’t be afraid to leave a job for better opportunities. Be selfish in a way that puts your goals and aspirations over the goals of your employers. They may not always have your best interests in mind.

• Sometimes is okay to care less. We are working in Entertainment. It’s hard, but it’s supposed to be fun. That’s why you chose this path after all right?

• Keep your eye on your goals but be willing to be open to side quests to broaden

  your scope.

• Stop waiting for others to give you validation. Believe in yourself.

• REMEMBER WHO YOU ARE - SIMBA!!

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This newsletter is written by Warner Bailey and edited by Riley Furey

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