Three months ago, Spotify made a splash with its big announcement on an AI-based paid add-on tool allowing fans to create covers and remixes.
At the time, Universal Music Group was unveiled as the launch partner with deals across recorded music and publishing that would enable Spotify to make repertoire from participating artists and songwriters available to fans.
Now the independent sector is on board for the new initiative following a licensing agreement with Merlin, the digital licensing body for the indies.
The licensing deal for Spotify’s upcoming fan-made covers and remixing tool will give listeners a new way to engage with music from participating artists and songwriters. The agreement enables artists on labels under Merlin’s Spotify agreement the option to participate.
Spotify’s tool will launch as a paid add-on, which will create an additional revenue stream for participating artists.
Spotify’s respect for our members’ and their artists’ rights is exemplary, making our decision to work on this project an easy one
Charlie Lexton
Charlie Hellman, SVP and global head of music at Spotify, said: “This agreement with Merlin ensures participating artists are credited and compensated, and that every creation drives listeners back to the original work. We’re proud to extend this model to the independent community, and we look forward to welcoming more partners as we continue to build.”
Charlie Lexton, CEO Merlin, said: “Giving our members’ artists the choice to make their music available as part of this exciting technology, while ensuring the opportunity to participate in an additional revenue stream, is exactly what Merlin is here to do. Spotify’s respect for our members’ and their artists’ rights is exemplary, making our decision to work on this project an easy one.”
Merlin is the digital music licensing partner for global independent labels and distributors. It has negotiated premium deals with Apple, Canva, ElevenLabs, Meta, Spotify, Udio, YouTube, and 40 other platforms around the world.
The Merlin membership is now from 70-plus countries, representing 15% of the global recorded music market.
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