Get the latest gossip

Fitness Apps Were Supposed to Be a Boon for the Music Business. Then the Pandemic Ended

Peloton led a fitness music licensing boom. Then the pandemic ended, and music companies lost the revenue they'd been making from home fitness apps.

Unlike the staid strength and cardio products of earlier years, the new breed of bikes and treadmills manufactured by the company were internet-ready and could stream live or pre-recorded workouts. Flush with investment capital, fitness companies followed Peloton into expensive licensing agreements with rights holders to infuse music into their at-home products. When Peloton replaced Foley with former Spotify CFO Barry McCarthy in February 2022 and announced plans to lay off 20% of its corporate staff, its share price was trading under $30, down more than 82% from its high mark just 13 months earlier.

Get the Android app