Spotify Adds Merlin Labels to AI Remix and Cover Project

During Tuesday’s second-quarter earnings call, co-CEOs Gustav Söderström and Alex Norström framed the initiative as a legal, artist-first alternative to the flood of unauthorized AI-generated tracks currently saturating streaming platforms. Unlike competitors that rely on fully synthetic music, Spotify’s model requires explicit permission, ensuring that original creators receive both credit and compensation for their work.

Merlin’s involvement follows a similar agreement with Universal Music Group, significantly broadening the potential catalog available for interactive fan modifications. While the company has not confirmed a specific launch date, it intends to roll out a research preview to a select group of users. Once fully deployed, the tool will operate as a paid add-on, creating a new revenue stream for participating musicians. This strategy comes as industry data shows a massive surge in AI-generated uploads, with Deezer reporting that over 50% of its daily track submissions now involve some form of artificial intelligence.