Spotify is reportedly preparing an optional artificial intelligence add-on for its Premium subscribers, according to a Financial Times report. The rollout could begin as early as the first quarter of 2027, the report said.
The add-on may cost between $4 and $5 a month, which would make Premium up to 39 percent more expensive, the report said. The company is reportedly in discussions with record labels.
Uncertain impact on artist royalties
It remains unclear how AI-generated songs will affect the royalties Spotify pays to artists, and the final payment amounts have not been settled. Streaming services find AI-made music appealing because it could reduce royalty costs and lift profits.
Spotify is also reportedly struggling to persuade some artists to let their music be used for AI.
Analyst estimates subscriber uptake by 2028
An analyst quoted by the Financial Times estimates that around 8 percent of Spotify subscribers could be paying the extra fee for AI-generated songs by the end of 2028.
