AI technology is advancing quickly, bringing both new creative possibilities and challenges for the music industry. It's critical for the music industry to join forces and act together to protect creativity while enabling innovation.
Stamping out the worst outcomes of Gen AI is an essential piece of the puzzle. Last month, we shared steps we're taking to stamp out spam, impersonation, and deception in the age of AI.
We've also been hearing consistently from artists and their teams that emerging AI music products often don't feel like they're built to power their careers, their businesses, and their fan bases. Too frequently, they feel like short-term experiments built to compete with them, rather than long-term solutions designed to serve artists. That's why Spotify's focus has been on utilizing Gen AI technology to power features that connect fans and artists, like our AI DJ, personalized daylist, or AI Playlist, which help listeners discover their next favorite artists in new ways.
Today, we're announcing plans to collaborate with Sony Music Group, Universal Music Group, Warner Music Group, Merlin, and Believe to develop responsible AI products that empower the artists and songwriters they represent, and connect them with the fans who support them. We hope to bring on additional rightsholders and distributors over time.
Some voices in the tech industry believe copyright should be abolished. We don't. Musicians' rights matter. Copyright is essential. If the music industry doesn't lead in this moment, AI-powered innovation will happen elsewhere, without rights, consent, or compensation. Together with rightsholders, artists, and songwriters, we are making significant investments in AI research and product development.
All products forged through this collaboration will put artists and songwriters first, through these four principles:
Partnerships with record labels, distributors, and music publishers: We'll develop new products for artists and fans through upfront agreements, not by asking for forgiveness later.
Choice in participation: We recognize there's a wide range of views on use of generative music tools within the artistic community. Therefore, artists and rightsholders will choose if and how to participate to ensure the use of AI tools aligns with the values of the people behind the music.
Fair compensation and new revenue: We will build products that create wholly new revenue streams for rightsholders, artists, and songwriters, ensuring they are properly compensated for uses of their work and transparently credited for their contributions.
Artist-fan connection: AI tools we develop will not replace human artistry. They will give artists new ways to be creative and connect with fans. We will leverage our role as the place where more than 700 million people already come to listen to music every month to ensure that generative AI deepens artist-fan connections.
Spotify is working with partners to put these principles into practice. We've begun building a state-of-the-art generative AI research lab and product team focused on developing technologies that reflect our principles and create breakthrough experiences for fans and artists. This work will combine our own R&D efforts with partnerships across the tech ecosystem, all shaped in close consultation with artists, producers, and songwriters. Our goal is to ensure the future of music innovation happens responsibly, and to invite the best minds in AI to help build it.
We've already begun work on the first product directions that bring these principles to life, with more to come as we continue to develop new tools and experiences for fans. We're committed to ensuring AI enhances artistry, creates new opportunities for the industry, and keeps artists at the center of music.
Alex Norstr m, Co-President and Chief Business Officer, Spotify: Technology should always serve artists, not the other way around. Our focus at Spotify is making sure innovation supports artists by protecting their rights, respecting their creative choices, and creating new ways for fans to discover and enjoy the music they love.
Gustav S derstr m, Co-President and Chief Product and Technology Officer, Spotify: AI is the most consequential technology shift since the smartphone, and it's already reshaping how music is created and experienced. At Spotify, we want to build this future hand in hand with the music industry, guided by clear principles and deep respect for creators, just as we did in the days of piracy. Our company brings deep research expertise to this opportunity and we're actively growing our AI team and capabilities to drive the continued growth of the entire music ecosystem.
Rob Stringer, Chairman, Sony Music Group: We are pleased to be collaborating with Spotify to develop responsible generative AI offerings that broaden opportunities for artists and songwriters, whilst enhancing the music experience for fans. This is an acknowledgement that direct licensing in advance of launching new products is the only appropriate way to build them and demonstrates how a properly functioning market benefits everyone in the ecosystem and fuels innovation. We appreciate and applaud Spotify's leadership at this critical period.
Sir Lucian Grainge, Chairman & CEO, Universal Music Group: For several years we've been driving initiatives with our partners to put artists at the center of the conversation about Gen AI and have struck Artist-Centric agreements that establish innovative new vehicles to unlock the opportunities presented by this revolutionary technology. I commend Daniel, Alex and Gustav on taking these critical steps forward to advance this approach. It is essential that we work with strategic partners such as Spotify to enable Gen AI products within a
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AI technology is advancing quickly, bringing both new creative possibilities and challenges for the music industry. It's critical for the music industry to join forces and act together to protect creativity while enabling innovation. 
