The US industry’s total revenue last year increased 3% to US$17.7 billion retail, the report said, up half a billion dollars from 2023.

Paid subscription services accounted for 79% of streaming revenues, and almost two-thirds of total revenues.

Yet streaming growth has slowed over the past five years – in 2024, it increased by less than four million subscriptions, compared to the jump from 2020 to 2021, when it spiked by almost nine million – a trend that has pushed music companies to seek growth elsewhere.

Universal, for example, has been touting a “Streaming 2.0” vision focusing on avenues like selling products to superfans.

Music revenues meanwhile fell 2% to US$1.8 billion on ad-supported, on-demand services – examples include YouTube, Facebook and Spotify’s ad-supported version.

Indie darling vinyl posted its 18th straight year of growth, and accounts for nearly 75% of physical format revenues that total US$2 billion, the RIAA said.

For the third year in a row, vinyl albums outsold compact discs, selling 44 million versus 33 million respectively.

Vinyl’s popularity has grown steadily in recent years, fuelled by collectors and fans nostalgic for the warm crackle that emanates from Side A and Side B.

The annual report from the International Federation of the Phonographic Industry, which represents global record companies, is due on Wednesday.