Excluding location data, I think that information is reasonable given a lot of a music streaming service’s purpose is helping the user find new music and expand their playlists. That information helps them create accurate recommendations, and I dom’t see how most of that could be used nefariously, nor why they would ever want to do that.
The amount of collected data can be unsettling, but Spotify is one compromise I’m willing to make given how useful it is to me in my day to day life.