Mumbai: India’s paid music streaming market is poised for significant growth, with paid subscriptions expected to reach 28–30 million by 2028, driven by product innovation, partnerships and evolving consumer preferences, according to the latest EY–Indian Music Industry (IMI) report titled “How India listens, streams and pays for music.”
The report highlights a growing gap between music consumption and monetisation in India. While music remains one of the most consumed forms of digital entertainment, the country had an estimated 14 million paid music subscriptions as of December 2025, compared to more than 200 million video subscriptions.
Based on a survey of over 15,000 smartphone users across India, the report examines music consumption behaviour, subscription patterns and factors influencing consumers’ willingness to pay for digital music services.
The findings reveal that music engagement remains strong among Indian smartphone users, with 96% consuming music and 80% spending more than one hour daily listening to audio content. However, monetisation continues to be a challenge, with free alternatives and limited differentiation between free and premium offerings impacting subscription adoption.
While 86% of respondents said they had paid for video OTT services at some point, including bundled offerings, only 38% reported having paid for music streaming services. The report notes that improving consumer awareness, enhancing premium experiences and creating clearer value propositions will be critical for accelerating paid music adoption.
The study also indicates potential for growth, with 61% of respondents stating that they would be willing to pay for music streaming if free alternatives were unavailable and pricing remained reasonable. However, 39% said they would not pay and may turn to piracy or other sources if free options disappeared.
Blaise Fernandes, President, Indian Music Industry (IMI) said, “Art requires more than just inspiration; it requires economic oxygen. To take Indian music global and discover our next generation of talent, we must transition from being a passive consumer market into active patron’s market. Paying for an audio digital subscription is a direct investment by the fan to show support to their favourite performers and also helps in preserving and exporting our rich cultural heritage.”
Vikram Mehra, Chairman, IMI said, “EY-IMI’s Consumer study validates our belief that Indian consumer is ready to pay for quality. We look forward to working with our partners, the DSPs, in expanding the audio paid services ecosystem in India. The eventual goal is to get India into the top 5 music market of the world.”
Commenting on the findings, Ashish Pherwani, Partner and Leader, Media & Entertainment Sector, EY India said, “Music remains one of India’s most consumed forms of digital entertainment. The report highlights an opportunity for the industry to further strengthen subscription adoption through improved consumer awareness, differentiated offerings and innovation that responds to evolving listener preferences.”
According to the report, dedicated music streaming platforms continue to be preferred destinations for structured listening experiences, with 60% of respondents using digital service providers (DSPs) for music consumption, compared to 32% using YouTube. At the same time, short-form video platforms and social media channels are playing an increasingly important role in music discovery and audience engagement.
Consumers who currently pay for music subscriptions primarily cite benefits such as ad-free listening, playback control and improved audio quality as key reasons for subscribing.
The report identifies the key challenges for subscription growth as the widespread availability of free music platforms and the need to create stronger differentiation between free and premium offerings. It suggests that a combination of better user experiences, innovative subscription models and stronger consumer education could help unlock the next phase of growth for India’s digital music ecosystem.
The “How India listens, streams and pays for music” report is a joint initiative by EY and IMI, based on a survey of 15,373 smartphone users conducted during March and April 2026, supplemented by psychometric research involving more than 2,200 consumers and discussions with industry stakeholders.
