Spotify used its second-quarter earnings call to provide further detail on its forthcoming AI-powered remix and covers tool, revealing that Merlin, which licenses music for independent labels and distributors, has joined Universal Music Group in backing the effort. The partnership brings more than 30,000 additional labels into the fold, letting fans create remixes and covers of tracks whose artists have opted in. Spotify is framing the initiative as a legitimate, artist-consented alternative to the wave of AI-generated music flooding streaming platforms, distinguishing it from tools used to produce entirely synthetic songs by unknown or fake acts.

Executives Gustav Söderström and Alex Norström stressed that the product rests on consent, artist credit and compensation, calling it the first legal route for fans to take part in AI-driven "interactive music". A research preview will roll out to a limited group of users first, without requiring a full catalogue to begin, though Spotify has not confirmed a launch date. The tool is planned as a paid add-on, giving artists a new revenue stream, at a time when rival Deezer says over half of daily track uploads are now AI-generated, up from just 10% in January 2025.