Spotify wants to introduce new ways for listeners to engage with the artists they love the most, all while expressing their own creativity.
The streamer’s audio mixing feature for playlists has sky-rocketed in popularity, introducing a new way for listeners to modify their playlists. Now Spotify is working on a new AI-powered fan-made covers and remix tool — and it’s seeking the help of Merlin.
Spotify’s upcoming remix tool will come as a subscription add-on, though we don’t know when it’s due to drop or how much it will be on top of the current $12.99/ £12.99/ AU$15.99 monthly Spotify Premium plan.
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Despite knowing very little about it, we do know that the remix feature will garner significant attention across the board of users, artists, organizations, and analysts alike. So what’s the end-goal for Spotify, and what are people saying about its potential knock-on effects for musicians and listeners?
What is the agreement?
On August 4, Spotify and digital licensing partner Merlin announced a new agreement that would give artists on labels under the Merlin name the option to lend their music to Spotify’s remix feature. Merlin is the second organization to sign on to the deal, following Universal Music Group in May.
For Spotify, the goal is simple: to ‘give listeners a new way to engage with the music they love from participating artists and songwriters,’ as stated in the announcement. Spotify also says the tool ‘will create an additional revenue stream for participating artists’.
However, despite knowing the tool will be AI-powered, Spotify hasn’t gone into detail as to exactly how it will allow listeners to create their own remixes of their favorite songs. The discourse around AI-generated slop is still a hot topic, and Spotify is still bearing the brunt of harsh criticism, so its venture into launching AI-powered music add-ons has left everyone scratching their heads.
What are Spotify’s competitors saying?
As far as rival music streamers go, it’s safe to say the top dogs aren’t too interested in integrating AI throughout their respective UXs. While the likes of Apple Music and Tidal use algorithmic recommendations to fuel discovery, the number of generative AI tools is nowhere near as saturated as Spotify.
Listening to an artist’s music in the way it was released is the only concern for most companies, particularly for Dan Mackta, Managing Director at Qobuz, who gave us the following statement: “Qobuz isn’t looking at anything like this. The finished music that great artists release is good enough for us and our community”.
The desire to keep the traditional listening experience in place is quite prevalent on the one hand. Some users just want to kick back with an album or playlist, hit the play button, and let the music do its thing. But as music analyst and founder of MIDiA Research Mark Mulligan points out, the yearning for active participation is growing.
Mulligan detailed this in a comment shared with us: “A growing share of consumers want to do more than just listen. Audio modification is an opportunity both to tap into consumer creativity and fandom. Playing around with your favourite artist’s song is an ultimate expression of fandom”.
Additionally, he backed this up with his own findings from the recent MIDiA Q1 2026 consumer survey: “The potential of audio modification is significant. Consumer demand is clear, with 54% of consumers interested in some form of audio modification, from changing speed to swapping vocals, rising to 80% for 16–19-year-olds”.
Participatory music is a rising phenomenon, and software labels like A Vinyl Bar in Shibuya want to create experiences that go beyond just listening to a song. However, AI is out of the question, and the creativity is placed in the hands of the user, not generated by a machine.
What are artists/ organizations saying?
In light of Spotify’s announcement, it’s not just competitors that are having their say on the AI-powered remix tool. Additionally, artists and music organizations are questioning the long-term financial effects the feature could have.
Musician’s Union is a UK-based organization that represents artists in all areas of the music industry, and its General Secretary Naomi Pohl views Spotify’s partnership with two minds.
“The Merlin and Spotify announcement sounds positive as it suggests artists will have the choice to participate in licensing deals or not and, crucially, that they will share in any revenue generated by the use of their works. This is better than the blanket approach taken by some major labels,” she tells us, but she also raises concerns about how artists will be paid, adding the following:
“However, as with music streaming royalties, there is a question over how artists signed to independent labels will be paid by their label. Artists should in theory get 50% of any revenue their label receives, but in practice this may not happen in all cases as it will depend on the label’s interpretation of the artist’s contract. Many artists signed before AI deals were even conceived of. And, as with music streaming, session or backing musicians on tracks currently stand to receive no share of revenue”.
When it comes to royalties, Spotify has faced severe criticism due to its payment model. Because Spotify pools money generated from subscriptions, it means the most streamed artists over the year will receive a higher percentage of the profits made. So, even if you spend an entire year supporting and streaming an up-and-coming indie band, your subscription money is still going to artists like Taylor Swift.
Royalties aside, the other concern lies within the protection of music in its original form. PRS for Music, who handle the rights and royalties behind music, feel this strongly. “More generally, streaming services are embracing new technologies, including AI, to give fans new ways to engage with the music they love,” a PRS spokesperson told us.
But despite these emerging consumer tools, what could easily get lost is the care for the music itself. PRS fears this will become less of a priority, adding “Creators, and their work, must be central to the development of these new tools. They must be designed specifically to protect the integrity of the work above all else, and to ensure creators are fairly paid for the value they bring to each and every platform”.
At the end of the day, these platforms are there not only for fans to listen and engage with music, but they’re there for artists to allow fans to hear music the way they intended. Though Spotify’s AI-powered remix tool would be a creative addition to the service, how long will it be before everyone reverts to streaming AI-generated mashups instead of the real thing?
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