The more appropriate question is why they published a AI artist at all. I think Spotify (or its owners/investors) might actually benefit from recommending AI-generated music by not having to pay real artists.
Like Spotify owns distribution, their largest investor Tencent Music Entertainment Group publishes AI-generated music = almost infinite profit.
From news: Tencent Music demonstrated strong revenue (1) growth in Q4 2025, with total revenues increasing by 16% year-over-year.
CEO of Tencent Music stated, "Our robust revenue growth and expansion in non-subscription services highlight our strategic focus on diversifying revenue streams. However, we acknowledge the need to address earnings challenges to meet investor expectations."
Like Spotify owns distribution, their largest investor Tencent Music Entertainment Group publishes AI-generated music = almost infinite profit.
From news: Tencent Music demonstrated strong revenue (1) growth in Q4 2025, with total revenues increasing by 16% year-over-year.
CEO of Tencent Music stated, "Our robust revenue growth and expansion in non-subscription services highlight our strategic focus on diversifying revenue streams. However, we acknowledge the need to address earnings challenges to meet investor expectations."
1. https://www.investing.com/news/transcripts/earnings-call-tra...