Watch, Suno. Spotify announced on Thursday that it is partnering with Universal Music Group (UMG) to allow fans to use genetic AI technology to create covers and remixes of their favorite songs. The tool will be released as a paid add-on available only to Spotify Premium subscribers and will offer revenue share with participating artists for AI-generated music based on their work.
The company did not share pricing or a release date for the new tool, only that the two companies had reached a licensing agreement. However, Spotify had teased its plans last year, noting that it was working with Universal Music Group, Sony Music Group, Warner Music Group, Merlin and Believe to develop artist-first AI products.
AI tools will be created through “upfront agreements, not apologies later,” Spotify said at the time, an apparent jab at other players in the space, such as Suno.
Among the principles Spotify outlined: artists and rights holders should be able to choose whether and how they engage with AI tools, and if they do, they should be compensated fairly.
“Solving hard problems for music is what Spotify does, and fan-made covers and remixes are next. What we’re building is based on consent, credit and compensation for the artists and songwriters involved,” Spotify co-CEO Alex Norström said in a statement about the UMG deal. “Through every technological transformation, we have worked with Sir Lucian [Chairman & CEO, Universal Music Group] and his team to evolve the music ecosystem into a richer, more rewarding experience for fans and a more rewarding outcome for artists and songwriters.”
UMG Chairman and CEO Sir Lucian Grainge, meanwhile, highlighted the development as a way for artists to deepen their relationships with their fans while creating additional revenue opportunities. No word yet on which UMG artists have agreed to participate.
While services like Suno and Udio have been pioneers in the AI music space, they’ve tread on shaky legal ground when building their AI music creation tools. As expected, the big companies quickly sued. In November, Suno concluded arrangement a $500 million lawsuit with Warner Music Group, which came shortly after Universal Music Group (UMG) had settled its own lawsuit with Udio.
Today, Suno is still faces copyright claims by UMG and Sony Music, among others. Udio, meanwhile, has fixed with Warner Music and UMG, but is still working to settle with Sony.
Seeing the demand for this kind of activity from consumers, Spotify went straight to the labels for a deal of their own. UMG may be the first of many label partnerships to come, though the company hasn’t made that clear.
The news came amid a series of Investor Day announcements from Spotify on Thursday, which also included an AI-powered audiobook creator, AI-powered features for podcasters, a desktop app for producing personal AI-powered podcasts and reserved concert tickets for top fans.
When you purchase through links in our articles, we may earn a small commission. This does not affect our editorial independence.
