Australian Music Industry Continues Growth Streak, But Pace Slows in 2025

SYDNEY — Australia’s recorded music industry experienced a modest gain of 1.4%, reaching A$727 million ($512 million) in 2025, according to ARIA. This growth rate, while positive, lags behind the global average.

The total wholesale revenue marks a record high, signifying the seventh consecutive year of growth. This is largely attributed to a resurgence in CD sales, which added nearly A$5 million ($3.5 million), reaching $20.9 million (a 29% increase), and the continued dominance of subscription-based streaming platforms, which saw a A$7 million ($5 million) increase, totaling $516 million ($363 million), up 1.4%.

While growth is always welcome, especially amidst economic uncertainty, the deceleration in the streaming sector is a cause for concern. Ad-supported models remained nearly flat, showing only a 0.4% increase to A$69.9 million ($49 million).

The IFPI's Global Music Report 2026 revealed that global music revenue grew by 6.4% to US$31.7 billion in 2025. China stood out with a 20.1% revenue increase, surpassing Germany as the fourth-largest global market.
ARIA 2025 Wholesale Value

Australia slipped out of the top 10 global music markets in 2024, and its re-entry seems unlikely in the near future, as markets with larger populations, such as Mexico, increasingly embrace streaming services.

ARIA CEO Annabelle Herd stated, "A seventh consecutive year of growth reflects the enduring connection Australians have with music, and the sustained investment of our record labels in developing and backing artists. While the pace of growth eased last year as streaming markets mature, the surge in physical sales shows that fans want to engage with music in deeper, more tangible ways."

This trend of slowed but sustained growth is also observed in other mature European markets, including Germany (+1.7%), France (+3.7%), and the United Kingdom (+4.8%).

Herd also addressed the rise of AI: "We are also seeing the rapid development of artificial intelligence globally. AI presents genuine new opportunities for the music industry – and AI licensing deals are emerging with major and independent labels and rightsholders globally – but these opportunities must be built on a foundation of consent, transparency, and fair compensation for artists and rights holders."

Australia’s copyright law is "the foundation for innovative technological development and strong local culture, and ARIA will continue to advocate strongly against threats to dismantle our copyright framework in the interests of a small number of major international AI tech companies."

The vinyl resurgence continues, with vinyl album revenue in Australia growing by 4.1% to A$46.3 million ($32 million) in 2025, with over 1.2 million units shipped. Vinyl now accounts for more than two-thirds (68.2%) of all physical revenue.

According to Herd, breaking new Australian music and making a living as an artist is increasingly challenging. "Every new release enters an increasingly crowded global landscape, but the success of artists like Amyl and The Sniffers, Ninajirachi, Dom Dolla, and Troye Sivan — all recognized at the 2025 ARIA Awards — proves Australian artists can cut through anywhere in the world. We have extraordinary talent coming through at every level, and our domestic policy settings should reflect and support that."

Herd concludes that removing the “arcane and deeply unfair statutory 1% cap and ABC fixed price on radio recording royalties would ensure recording artists are fairly compensated in their home radio market and send a clear signal that Australia backs its creators," emphasizing that it has never been a “more important time to invest in and protect local culture."

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