Spotify has announced a new partnership with Universal Music Group (UMG) that will allow fans to create AI-generated covers and remixes. The tool will be available as a paid add-on for Spotify Premium subscribers and will share revenue from the AI-generated music with participating artists.

The move aims to address the legal challenges faced by earlier pioneers in this space, like Suno and Udio, which had to settle significant lawsuits over copyright infringements. By going directly to the major labels, Spotify hopes to ensure a smoother path forward while preserving artist consent and compensation.

“Solving hard problems for music is what Spotify does,” said co-CEO Alex Norström, “and fan-made covers and remixes are next.”

The partnership shows that while AI music creation holds promise, the industry still grapples with complex legal issues. With UMG as a partner, other labels may follow, potentially reshaping how we create and consume music.