Spotify is reportedly developing a new AI-powered music feature that could cost Premium subscribers an additional USD 4 to USD 5 a month post-2027 launch. The proposed service may allow users to create remixes and covers of existing songs using artificial intelligence.
Financial Times says the company is targeting the first quarter of 2027 for the launch. Spotify could also introduce the service around the Grammy Awards in February. However, the launch timeline and pricing are not officially confirmed.
The add-on will be charged separately without increasing the cost of the existing Premium plan. This could make Spotify's paid offerings more expensive for users interested in AI music creation.
Spotify is reportedly negotiating licensing agreements with major record labels to secure music rights for the service. The company and Universal Music Group have also held discussions with individual artists to encourage participation.
Securing support from established musicians has proved challenging, particularly among some major contemporary performers. Artists may have the option to participate or decline, even when their record labels have signed agreements with Spotify.
The platform is also developing a system that could allow fan-created remixes to appear in playlists. Streams from these versions could count towards the original songs on Spotify's music charts. Royalty payments would also go to the original artists.
Bernstein analyst Ian Moore estimates that 7% to 8% of Spotify's US subscribers could adopt the service by the end of 2028. This suggests the feature may attract a relatively small share of paying users.
Spotify co-CEO Gustav Soderstrom has argued that the service could create another revenue opportunity for artists. However, convincing musicians to participate and subscribers to pay extra will be central to its success. The proposed USD 5 monthly charge could therefore test how much users value AI-powered music creation.
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