Spotify to exit Uruguay over Copyright Law changes
The music streaming giant Spotify announced this week that it will be phasing out its service in Uruguay, beginning January 1, 2024, and fully ceasing operations by February 1, 2024.
The music streaming giant Spotify announced this week that it will be phasing out its service in Uruguay, beginning January 1, 2024, and fully ceasing operations by February 1, 2024.
The decision comes in response to recent changes in Uruguay's copyright law, which Spotify believes will make it impossible for the company to operate sustainably in the country. Under the new law, Spotify would be required to pay twice for the same songs, once to the record labels and publishers that represent artists and songwriters, and again to a new government-created fund.
For Spotify users and subscribers in Uruguay, the company has outlined the following steps:
- Spotify will stop billing Premium subscribers in December, and existing subscribers will be able to enjoy their last full month of Premium.
- After December 28, it will not be possible to start a new Spotify subscription in Uruguay.
- After February 1, Spotify will not be available in Uruguay at all.
Spotify says it is also contacting artists and creators directly to inform them of the situation.
The company's decision to exit Uruguay is a blow to the country's music scene and to Spotify's global expansion plans. Uruguay is a small country with a population of just 3.5 million, but it has a vibrant music culture and a growing number of Spotify users.