Spotify plans AI remix and cover service with a $4-5 monthly fee

According to the Financial Times, Spotify is in licensing talks with major record labels and plans to launch a new AI-powered service in early 2027. It will let users make their own remixes and covers of songs, possibly debuting around the Grammy Awards.

The feature is aimed at paid subscribers. They could turn a folk song into a dance track, or make a singer "cover" another artist's song. Insiders say Spotify may charge an extra $4-5 a month, though details are not final. Its shares rose nearly 6% on Friday after the report.

Spotify has already reached deals with Universal Music, Merlin, and France's Believe, and is still negotiating with Sony Music and Warner Music. Even if a label signs, artists can decide for themselves whether to take part.

Unlike tools such as Suno that create brand-new audio from text prompts, this service builds on licensed artist work. Royalties from remixes go fully back to the original artists, and plays count toward official charts. It is seen as a key test of whether AI can become a new money-maker for the music industry.