Entertainment
U.S. physical music revenue rises as distributor Alliance Entertainment reports strong sales
Mid-year industry data shows sharp increases in vinyl and CD sales, supporting revenue growth for independent distributors.
The short version
- U.S. physical music revenue increased 25.9% during the first half of 2026, according to the RIAA.
- The growth was led by a 17.7% rise in vinyl sales and a 58.6% surge in CD sales.
- Alliance Entertainment projected it will sell 20 million units each of vinyl and CDs in 2026, with its AMPED distribution unit generating $114 million in fiscal year sales.
- Alliance is developing an artificial intelligence project to overhaul its B2B purchasing platform by early 2027.
Key facts
- The Recording Industry Association of America reported that U.S. physical music revenue grew 25.9% in the first half of 2026 compared to the same period in 2025.[Billboard]
- U.S. vinyl sales reached $544 million in the first half of 2026, representing a 17.7% year-over-year increase, while CD sales grew by 58.6%.[Billboard]
- Streaming remains the dominant music format, accounting for 82% of recorded music business revenue.[Billboard]
- Alliance Entertainment's AMPED Distribution division reached $114 million in sales for fiscal year 2026, a 46% increase over fiscal year 2025.[Billboard]
- Alliance expects to sell 20 million vinyl units and 20 million CD units in 2026, up from 16.8 million vinyl units and 13.5 million CDs sold in 2025.[Billboard]
- Alliance plans to launch an AI-driven revamp of its Webami business-to-business platform in the first quarter of 2027.[Billboard]
What remains uncertain
- Whether the projected 20 million units each of vinyl and CDs will be reached by Alliance Entertainment before the end of calendar year 2026.[Billboard]
Sources
Outlet counts describe coverage, not independent confirmation. Reports may share a wire service or original source.