Universal Music Group (UMG), the world’s largest music label, has acknowledged a slowdown in subscriber growth for music streaming services like Apple Music, Times of India said quoting a Bloomberg report.

UMG‘s Chief Financial Officer Boyd Muir noted disappointing revenue from streaming services, attributing the decline to large platforms like Apple and Amazon struggling to drive global adoption. This slowdown has led to a 30 percent drop in UMG’s shares.

Despite the setback, UMG believes this is temporary and expects a recovery in the coming months. To counteract the trend, music companies are implementing cost-cutting measures, including layoffs and restructuring. New pricing tiers for streaming services are also anticipated to help sustain growth.

Apple Music, which hasn’t updated its subscriber numbers since 2019, is not alone in this trend. Spotify and Amazon Music are also seeing a flattening of their growth curves. The industry is exploring new revenue streams and strategies to navigate this challenging period.