Many once assumed that Africa would remain on the fringes of the global music economy. The continent would export talent but never truly command its own industry. However, that notion was firmly silenced recently.
The International Federation of the Phonographic Industry (IFPI) released its Global Music Report 2025, offering a different story. The report showed that, in 2024, sub-Saharan Africa’s recorded music revenues passed the $100-million mark for the first time.
South Africa is leading in the global rise of Afrobeats
According to the report, revenues in the region rose by 22.6%. Notably, South Africa contributed a massive 75% of that total. But the full story lies in more than just the numbers. It reflects a confluence of mobile streaming, local talent and shifting industry mindsets.
Traditional gatekeepers have lost their grip on power. Their influence has weakened, and the reverberations are spreading from Johannesburg to Lagos.
Streaming, once a niche luxury, has now become the lifeblood of Africa’s music economy. In South Africa, a boom in data usage and competitive mobile pricing has driven this shift. Regulatory pressure and market forces together created fertile ground for music platforms to thrive.
As a result, platforms like Spotify, Deezer and Apple Music have become the new radio stations of the digital age.
The state of global music
Globally, recorded music revenues experienced growth for the tenth consecutive year in 2024. Revenues increased by 4.8% to reach US$29.6 billion. Every region saw some level of growth.
Streaming music worldwide exceeded US$20 billion for the first time. Subscription streaming alone accounted for over 50% of global recorded music revenues in 2024.
Even vinyl saw growth once again. The format achieved its 18th consecutive year of revenue increases.
The Middle East and North Africa (MENA) region grew the fastest, with a rate of 22.8%. Sub-Saharan Africa followed closely at 22.6%, just ahead of Latin America at 22.5%. Out of 58 global markets, 55 recorded growth in 2024.
This growth does not happen by accident. It reflects the brilliant creativity, vision, and hard work of artists and songwriters around the globe. As the essential partner to artists, record labels help them develop long-term and sustainable careers. They find and nurture talent, unlock new revenue streams, and connect artists with audiences. By cutting through the huge amount of content being released today, they enable artists to achieve both creative and commercial success at every stage of their careers.
– mentioned in the foreword to the report by Victoria Oakley, CEO of the IFPI
The CEO emphasised that music companies also play a key role. Their work, investment, and passion fuel the industry’s success.
Significant Afrobeat growth in digital revenue
The continued growth in recorded music revenues in sub-Saharan Africa is a clear testament to the strategic actions of record companies. They create opportunities not just for artists, but also for fans of recorded music.
The region has registered significant growth in digital revenues, especially in subscription streaming, over the past few years. Without a doubt, technology is a major driver of this success. Therefore, it’s crucial for the region to improve national policies and regulatory environments. These changes can attract further investment in the wider recorded music business.
– Angela Ndambuki, IFPI’s Regional Director for sub-Saharan Africa
While Angela’s statement was carefully worded, it pointed to a deeper truth. This is not a passive boom. It results from calculated partnerships, infrastructure investments, and deliberate artist development.
Yet, in many African markets, consumers remain price-sensitive. To address this, telcos and music services have formed partnerships. These deals allow users to stream music at zero-rated or subsidised data rates. Interestingly, this model may yet be exported to more developed markets.
Even as digital revenues rise, physical formats continue their slow decline. Globally, physical music revenue fell by 3.1%, despite vinyl’s resilience. While vinyl grew by 4.6%, it still represents only a tiny portion of the market.
Meanwhile, the most seismic force shaping the future is the rise of Artificial Intelligence (AI) in music production. The IFPI has voiced growing concern about generative AI tools that use copyrighted material without permission.
AI systems are being trained on music without consent or compensation. We support AI that supports human creativity – but not AI that exploits it.
The rise of Afrobeats in the global arena
Beyond legal debates, a cultural shift is underway. African genres are no longer seen as curiosities. Instead, they are becoming central to the global pop conversation.
Nigerian Afrobeats artists like Burna Boy and Rema now dominate global charts. At the same time, South African sounds, especially Amapiano, are making their way onto playlists in Brazil, the UK and Japan. However, infrastructure disparities limit the benefits of the streaming boom. In many townships and rural areas, connectivity remains unreliable and expensive.
The ability to stream does not guarantee universal access. In these areas, radio still dominates. And in some ways, that remains a strength. Radio continues to serve as a powerful discovery platform. It also provides an opportunity for labels to blend analogue and digital strategies.
When one local artist was asked about the global rise of Afrobeats and what success now looks like, the artist gave a simple answer: “It’s when I don’t have to leave South Africa to make it”.
Arthur Goldstuck | CEO | World Wide Worx | Editor-in-chief | Gadget.co.za | mail me |
