Spotify to Develop AI Music Products in Partnership With Major Record Labels


Spotify has announced an extensive partnership with all three major music companies (Universal Music Group, Sony Music Group and Warner Music Group), digital licensing company Merlin and distribution services company Believe to develop AI music products.

Spotify didn’t specify what specific software or AI tools the company was developing, stating only in a blog post Thursday morning that the audio streaming giant was working with the partner companies to create “responsible AI products that empower the artists and songwriters they represent, and connect them with the fans who support them.”

In the blog post, Spotify said that it’s already started to create an AI research lab and product team to develop its AI music products, adding that it’s being done “in close consultation with artists, producers, and songwriters,” and with consideration for artists’ rights over their music.

“Some voices in the tech industry believe copyright should be abolished. We don’t,” Spotify said. “Musicians’ rights matter. Copyright is essential. If the music industry doesn’t lead in this moment, AI-powered innovation will happen elsewhere, without rights, consent or compensation. Together with rightsholders, artists and songwriters, we are making significant investments in AI research and product development.” 

Spotify’s announcement will likely garner significant skepticism from some artists and music fans given how controversial a topic AI music is, and the world’s largest streaming service has already courted controversy in recent months as groups like King Gizzard and the Lizard Wizard and Xiu Xiu pulled their catalogs off Spotify over founder Daniel Ek’s investment in military tech company Helsing through his investment firm Prima Materia. Still, it’s particularly noteworthy all three of the major music companies have signed on, suggesting support from the industry’s most influential stakeholders.

The labels have for the most part taken a cautiously experimental approach to AI music in the past several years, granting licenses to a few companies to create tools like AI voice clones or music generators, but suing several developers who didn’t get licenses for their models.

Spotify co-president and chief businesss officer Alex Norström said in a statement Thursday that “technology should always serve artists, not the other way around. Our focus at Spotify is making sure innovation supports artists by protecting their rights, respecting their creative choices, and creating new ways for fans to discover and enjoy the music they love.”

As Gustav Söderström, Spotify’s co-president and chief product and technology officer, added: ““AI is the most consequential technology shift since the smartphone, and it’s already reshaping how music is created and experienced. At Spotify, we want to build this future hand in hand with the music industry, guided by clear principles and deep respect for creators, just as we did in the days of piracy.”

Spotify listed four tenets the company said it would follow to develop its AI software. First, it touted work directly with record labels, distribution companies and music publishers, saying that “we’ll develop new products for artists and fans through upfront agreements, not by asking for forgiveness later.” The final bit of that sentence seems to be a reference to other AI music companies like Suno and Udio, which are currently facing lawsuits from the record companies on claims of massive copyright infringement.

The second principle listed was “choice in participation” in the AI development, saying that “artists and rightsholders will choose if and how to participate to ensure the use of AI tools aligns with the values of the people behind the music.” Spotify’s blog post didn’t specify whether the development would be opt-in or opt-out to determine training permissions.

Spotify also said the company will ensure that the products it develops will create “wholly new revenue streams for rightsholders, artists, and songwriters, ensuring they are properly compensated for uses of their work and transparently credited for their contributions.”

Lastly, Spotify stated that any products the company creates “will not replace human artistry.” Instead, Spotify said, “they will give artists new ways to be creative and connect with fans.”

The heads of all the participating companies gave extensive statements Thursday, all similarly describing an intent to develop ethically sourced AI tools that empower artists.

UMG chairman and CEO Lucian Grainge, who penned a letter to UMG’s staff about the company’s AI efforts earlier this week, said in a statement Thursday that “It is essential that we work with strategic partners such as Spotify to enable Gen AI products within a thriving commercial landscape in which artists, songwriters, fans, music companies and technology companies can all flourish.”

Sony Music Group Chairman Rob Stringer said in a statement that the Spotify partnership is “an acknowledgement that direct licensing in advance of launching new products is the only appropriate way to build them and demonstrates how a properly functioning market benefits everyone in the ecosystem and fuels innovation.”

Warner Music Group CEO Robert Kyncl said WMG  has been “consistently focused on making sure AI works for artists and songwriters, not against them.”

“That means collaborating with partners who understand the necessity for new AI licensing deals that protect and compensate rightsholders and the creative community,” Kyncl said.

Merlin COO Charlie Lexton said his company was partnering with Spotify to “genuinely enhance the creative and commercial ecosystem for the benefit of our independent members, their artists and their fans.”

Believe founder and CEO Denis Ladegaillerie said, “we are now thrilled to partner with Spotify to co-develop ‘value-creative AI’ tools that will fuel artist development and unlock new creative and commercial opportunities.”


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