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Spotify<\/a><\/strong> and Universal Music Group<\/a><\/strong> have announced licensing agreements enabling fans to create AI-powered covers and remixes of songs from participating artists and songwriters.<\/p>\n The new tool will launch as a paid add-on for Spotify Premium<\/strong> users, the companies said on Thursday (May 21), creating what they described as an additional revenue stream for artists and songwriters on top of existing Spotify<\/strong> royalties.<\/p>\n The new UMG-Spotify<\/strong> agreements span both recorded music and music publishing. All Spotify users will be able to play the created tracks.<\/p>\n The official announcement didn\u2019t detail the generative AI technology<\/strong> underpinning the new feature, or confirm a specific price\/launch date.<\/p>\n \u201cSolving hard problems for music is what Spotify does, and fan-made covers and remixes are next,\u201d said Alex Norstr\u00f6m<\/strong>, Co-CEO of Spotify<\/strong>. \u201cWhat we\u2019re building is grounded in consent, credit, and compensation for the artists and songwriters that take part.<\/p>\n \u201cThrough each technological transformation, we have worked together with Sir Lucian<\/strong> and his team to evolve the music ecosystem into a richer, more beneficial experience for fans and a more rewarding outcome for artists and songwriters.\u201d<\/p>\n Sir Lucian Grainge<\/a><\/strong>, Chairman & CEO of Universal Music Group<\/strong>, said: \u201cThe most valuable innovations in the music business always bring artists and fans closer together.<\/p>\n \u201cThat principle is at the heart of this pioneering AI-enabled superfan initiative, which is designed to support human artistry, deepen fan relationships, and create additional revenue opportunities for artists and songwriters.<\/p>\n \u201cBuilding on our long track record of leading the industry through technology changes, and collaborating with Alex<\/strong>, Gustav<\/strong>, Daniel<\/strong> and the team at Spotify<\/strong>, this initiative is firmly artist-centric, rooted in responsible AI, and will drive growth for the entire ecosystem.\u201d<\/p>\n The deal introduces what the companies described as \u201ca creation model where artists and songwriters can directly share in the value generated through AI-driven licensed covers and remixes on the Spotify<\/strong> platform.\u201d<\/p>\n Participation will be opt-in, with the tool available only for songs from artists and songwriters who have agreed to take part.<\/p>\n The announcement arrives three months after Spotify<\/strong> Co-CEO Gustav S\u00f6derstr\u00f6m<\/strong> told analysts on the company\u2019s Q4 2025 earnings call in February that Spotify<\/strong>\u2018s technology to enable fans to create AI-generated remixes and covers was \u201cready\u201d \u2013 but that \u201cthe absence of a rights framework\u201d was holding things up<\/a>.<\/p>\n S\u00f6derstr\u00f6m<\/strong> described AI-powered \u201cderivatives\u201d of existing music as \u201can untapped opportunity for artists to make money off of their existing IP.\u201d<\/p>\n Thursday\u2019s announcement suggests that rights framework has now been secured \u2013 at least with UMG<\/strong>, the world\u2019s largest music rights company.<\/p>\n The Spotify<\/strong> agreement represents the latest in a series of AI-related licensing deals struck by Universal Music Group<\/strong> over the past year.<\/p>\n In October 2025, UMG<\/strong> settled its copyright infringement lawsuit against AI music platform Udio<\/a> and agreed to collaborate on a licensed AI music creation service.<\/p>\n That settlement championed a \u201cwalled garden\u201d model in which AI-generated music cannot be downloaded or distributed outside the platform on which it was created.<\/p>\n Last month, MBW<\/em> reported on a patent portfolio linked to UMG targeting AI music derivative infrastructure<\/a>, including systems built around artist approval, automated revenue distribution, and digital watermarking.<\/p>\n Today\u2019s announcement builds on the broader Spotify<\/strong>\u2013UMG<\/strong> relationship, which was reinforced by a multi-year licensing agreement signed in January 2025<\/a> covering recorded music and music publishing.<\/p>\n That deal included a direct licensing agreement between Universal Music Publishing Group<\/a><\/strong> and Spotify<\/strong> in the United States.<\/p>\n