NetEase is firing up the engines on the IPO for its music streaming service NetEase Cloud Music, and that includes some new figures on the size of the latter. By the end of September 2021, the service had 184 million monthly active users, of whom 27.5 million were paying customers. Those figures have grown from 105.1 million and 4.2 million respectively in 2018.
Meanwhile, NetEase Cloud Music’s revenues from online music services grew from RMB 1bn in 2018 to RMB 1.8bn in 2019 and RMB 2.6bn in 2020 – the latter figure is around $407.3m at today’s exchange rate. In the first nine months of 2021, they were RMB 2.44bn ($382.2m).
Note, like rival Tencent Music, NetEase Cloud Music isn’t just about streaming: it also has a range of ‘social entertainment’ services. Those generated RMB 2.67bn ($418.3m) in the first nine months of 2021.
The company is keen to stress the community aspects of its streaming service though: it notes that in June 2021, around 27% of its active users “generated content” – comments, blog posts and playlists for example.
It’s also big on independent artists. While only 1.4m of the 60m tracks in its catalogue were from ‘registered independent artists’, they accounted for more than 47% of NetEase Cloud Music’s streams in June.
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