Spotify and Universal Music Group sign landmark AI deal

Spotify and Universal Music Group have signed a licensing agreement that will let Premium subscribers create AI covers and remixes of UMG tracks. The deal was announced on May 21 during Spotify’s Investor Day. It marks a shift after Spotify’s earlier efforts to limit AI-generated content on the platform.

The agreement introduces a paid add-on feature for Spotify Premium users. It will allow them to generate AI versions of songs from participating UMG artists. Spotify co-CEO Alex Norström said the tool is “grounded in consent, credit, and compensation” for artists and songwriters. The company also noted that the feature will create new revenue streams and ways to boost discovery for creators.

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