ELECTRONIC MUSIC HITS $12.9 BILLION AND STRENGTHENS ITS CULTURAL IMPACT, ACCORDING TO THE IMS BUSINESS REPORT 2025.
IMS Ibiza, the annual summit for thought leaders at the intersection of electronic music, culture, technology, and business, presented the IMS Business Report 2025 live yesterday. Compiled for the third year in a row by Mark Mulligan of MIDiA Research, the report offers an in-depth snapshot of the current state of the electronic music industry—one that’s not only growing in numbers but also reshaping the cultural and technological boundaries of global entertainment.
The electronic music industry generated $12.9 billion in 2024, marking a 6% increase from the previous year. While the growth rate was slower than in 2023, the most significant takeaway wasn’t purely financial. “Culture leads, data follows” was one of the most echoed phrases during the summit’s sessions. Electronic music continues to gain ground, not just as an economic driver, but as a cross-cultural force.
“The IMS Business Report continues to evolve each year, with stronger data and the benefit of over a decade of tracking, allowing us to truly compare and contrast the state of the electronic music industry. This year’s annual health check reflects ongoing growth and key developments: Superstruct’s acquisitions reshaping live music, a surge in core genres like Afro House and Drum & Bass, continued catalog acquisitions, and unprecedented engagement with the genre on cultural platforms like TikTok,” said Ben Turner, IMS co-founder.
For the fifth year in a row, independent labels increased their market share, now accounting for 30% of global label revenues. While major labels remain dominant, regional and digitally native players from the Global South are gaining ground, carving out space with localized scenes and culturally tailored content strategies.
New Genres, New Generations
The rise of genres like Afro House and the resurgence of styles such as Drum & Bass, Jungle, and UK Garage are reshaping the global sonic landscape. According to Beatport data, Afro House has jumped from the 23rd to the 4th most searched genre, while SoundCloud has reported a 100% increase in UK Garage uploads.
With 566 million new electronic music fans across Spotify, YouTube, TikTok, Instagram, and Facebook in 2024, electronic music continues to outpace rivals like rock and indie.
Ibiza: Always at the Top
The island remains at the heart of the electronic music world—not just as a party destination, but as a cultural beacon. In 2024 alone, club ticket revenues reached €150 million. This marks a 6% increase for the Balearic island, despite a drop in the number of events, driven by higher ticket prices and sustained demand for premium experiences.
During IMS, the role of women shaping the local scene also took center stage. The “Queens of Ibiza” panel spotlighted promoters, DJs, and bookers who are transforming the island from within, creating safer spaces and bringing their own voices to leadership. Gender representation is shifting—slowly but surely—with AlphaTheta’s registered female user base growing again in 2024, now reaching 16%.
Management, Equity, and the Future
Panels on artist management, featuring insights from Mochakk and Vintage Culture, offered practical lessons on breaking through from scratch, building a catalog, and crafting your own “management” even without a formal team. A conversation between the managers of Fatboy Slim and Black Coffee provided a compelling generational contrast—highlighting how today’s industry is managed, and how veterans and newcomers alike can learn from each other while adapting to change without losing artistic vision.
AI’s role in music creation continues to expand, and 2024 proved to be a pivotal year for generative music tech. With 60 million users of music-making apps and 10% of consumers reporting they’ve used AI to create music or lyrics, the line between fan and creator is becoming increasingly blurred. AI and audio tools are democratizing music creation like never before.