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Are CDs making a comeback?

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Despite the dominance of music streaming, compact discs are making an unexpected comeback, with U.S. CD sales climbing 16% during the first half of 2026, according to Luminate’s Midyear Music Report.

The report found that Americans purchased 16.3 million CDs during the first six months of the year, far outpacing vinyl records, whose sales increased by a more modest 2.4%.

Industry analysts say much of the growth is being driven by younger consumers, particularly fans of K-pop artists such as BTS, ATEEZ and ENHYPEN. Those acts accounted for more than half of the increase in CD sales, though even without K-pop releases, CD sales still would have risen 6.7% over the same period last year.

Luminate says CDs have evolved beyond simply being a way to listen to music. Many fans now view them as collectibles and as a way to directly support their favorite artists. The trend is especially strong among Generation Z and millennials, with about half of CD buyers in those age groups reporting they do not even own a CD player.

The report also found that major retailers such as Walmart and Target are gaining market share in physical music sales, aided by exclusive album editions unavailable elsewhere. Independent record stores and online retailers both saw their share of physical album sales decline during the first half of the year.

Streaming, however, continues to dominate overall music consumption. Global on-demand audio streams increased 9.8% compared with a year ago, while U.S. streaming rose 4.4%.

R&B and hip-hop remained the nation’s most-streamed genre, accounting for roughly one-quarter of all streams, although its market share continued to decline. Dance and electronic music posted the strongest growth, with U.S. streaming up nearly 19%, while Latin and world music also gained listeners.

Rock remained the second-most streamed genre in the United States, driven largely by older catalog music rather than new releases.

The report also found continued diversification in listening habits. English-language songs accounted for 87.1% of U.S. streams, down slightly from last year, while Spanish-language music approached one in every 10 streams. Korean-language music maintained a 1.1% share of the U.S. market, reflecting the continued popularity of K-pop.

Source: Billboard

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