Digital Audio To Hit $9.1 Billion In 2029; Podcasting To See Gains.

Digital audio services are expected to see a compound annual growth rate of 4.8% from this year through 2029, according to a new report from EMARKETER, “Radio and Digital Audio Ad Spending Benchmarks: Q2 2025.”

While total audio advertising remains basically flat, “digital audio is gaining ad dollars slightly quicker than terrestrial radio is losing them.”

Digital audio services spending is expected to hit $7.55 billion this year, followed by $7.96 billion in 2026, $8.36 billion in 2027, $8.74 billion in 2028, and $9.1 billion in 2029.

While facing headwinds, the report says traditional radio continues to demonstrate its resilience. “Radio has held onto minutes and ad dollars better than some other traditional media due to ingrained habits,” the report says. “Even as many people have switched from TV to connected TV (CTV), average daily time spent with radio among adults dropped by only 1 minute between 2023 and 2025.”

Meanwhile, other traditional media are declining at a more rapid rate. TV’s four-year CAGR will be negative, dropping 7.7%, including double-digit losses in odd years. Radio, by contrast, will see a gentler decline of 2.4%.

For digital audio, the report says, paid subscriptions remain the main vehicle for monetization. “Nearly 158 million listeners will pay for a digital audio subscription in the U.S. in 2025,” the report says. “Audio platforms are eager to earn more advertising revenues, but many listeners are willing to pay to avoid ads.” But EMARKETER says subscription prices are rising, which may push more people to try ad-supported tiers.

Podcasting, meanwhile, is expected to see a four-year CAGR of $7.2 billion. The report predicts $2.53 billion this year, followed by $2.76 billion in 2026, $2.98 billion in 2027, $3.17 billion in 2028 and $3.34 billion in 2029.

EMARKETER says about 60% of audio listeners are podcast consumers. About 141 million U.S. adults are expected to listen to podcasts in 2025, with that number topping 150 million by 2027.

“Podcasts are generating high levels of advertising interest,” the report says. “Nine out of 10 advertisers surveyed by Cumulus Media and Signal Hill Insights indicate that they are interested in investing in podcast advertising. And 78% of surveyed advertisers bought ads in podcasts in June 2025, up from 59% in June 2024.”