Spotify CEO Daniel Ek faces backlash for implementing a second price hike within a year, raising the Premium plan to $11.99 per month for new US subscribers.

Despite the backlash, Spotify's shares surged by 6.8% to $317.00, indicating investor confidence in the pricing strategy.

The price increase, set for July, aims to enhance user experience and innovation, although some users are dissatisfied with the lack of new features.

Spotify is also raising prices in the UK, Australia, and Pakistan, with individual plans rising to $11.99, Duo plans to $16.99, and Family plans to $19.99.

The company is facing operational losses due to high royalties paid to rights holders and is discontinuing support for the 'Car Thing' infotainment device, offering refunds to customers.

Spotify has added audiobooks to its subscription packages, leading to controversy and legal action from music publishers, necessitating price increases to counter potential revenue losses.

Despite challenges, Spotify continues to innovate, including a separate audiobook subscription option in the US.

Existing subscribers will see the price increase in July, with a one-month grace period before the new prices take effect.

To cancel a Spotify premium subscription, users must log into their account on a web browser or contact a third-party provider, with only the plan manager able to cancel a family plan.

The price increases reflect Spotify's focus on innovation and profitability in the competitive streaming market, leading to positive analyst sentiment and pleased shareholders, with the stock up over 100% from a year ago.