Spotify has announced a major partnership with Universal Music Group (UMG) that could reshape how fans interact with music.
The move will allow users to create AI-generated covers and remixes of their favorite songs through a new paid feature.
The tool is expected to launch soon for Premium subscribers, with a focus on artist consent and compensation.
Spotify has partnered with Universal Music Group (UMG) to introduce fan-made AI covers and remixes of existing songs.
The announcement was made on Thursday, marking one of the streaming giant’s biggest moves into generative AI music tools. The feature will be offered as a paid add-on for Spotify Premium users.
While the company has not revealed pricing or an official launch date, it confirmed that artists participating in the program will receive a share of revenue generated from AI-created music based on their work.
How the AI music tool will work
The upcoming tool will be available exclusively to Spotify Premium subscribers. Users will be able to generate AI-driven covers and remixes of songs from supported catalogs.
Spotify has not yet disclosed technical details of the tool, but the focus will be on controlled and licensed use of AI-generated music.
A key part of the deal is a revenue-sharing model. Participating artists and rightsholders will be compensated when their music is used in AI-generated creations.
Spotify says artists will have control over whether they choose to participate in AI tools or not.
Spotify’s AI strategy and industry push
Spotify had previously signaled its AI ambitions, saying it was working with major labels including Universal Music Group, Sony Music Group, Warner Music Group, Merlin, and Believe.
The company emphasized that its AI tools are being developed through “upfront agreements,” positioning itself against platforms like Suno and Udio that faced legal challenges over copyrighted training data.
Spotify co-CEO Alex Norström said the company aims to build AI tools based on “consent, credit, and compensation” for artists and songwriters.
UMG CEO Sir Lucian Grainge described the partnership as an opportunity for artists to strengthen fan engagement and unlock new revenue streams.
However, Spotify has not yet confirmed which artists from UMG will opt into the program.
AI music platforms such as Suno and Udio have faced significant legal pressure from major record labels over copyright issues.
Suno recently settled a $500 million lawsuit with Warner Music Group, while both Suno and Udio continue to navigate ongoing claims involving Universal Music Group and Sony Music.
Spotify’s move appears to bring similar AI capabilities under formal licensing agreements, potentially reducing legal risks in the space.
The announcement came during Spotify’s Investor Day, where the company also revealed additional AI-powered features, including:
- AI audiobook creation tools
- AI features for podcasters
- Desktop tools for AI podcast production
- Reserved concert tickets for top fans
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