Spotify this week publicly addressed online misinformation regarding its updated terms of use, following viral creator videos, including one from artist @chantmagick, alleging that the company could transfer artists’ music rights to third parties such as partners, affiliates, or technology providers.
The streaming giant denied these claims, issuing a statement clarifying that the terms do not affect the distribution rights of artists, podcasters, or authors. Instead, Spotify said the updates apply only to listeners and are meant to cover features like user-generated playlist covers, titles, and comments.
“Artists, podcasters, creators, and authors continue to retain full control of their work,” the company emphasized, framing the changes as standard practice across streaming platforms.
The clarification comes amid heightened scrutiny of Spotify’s treatment of musicians. Many artists and advocates argue that the platform’s royalty system undervalues their work. In 2024, U.S. lawmakers Rashida Tlaib and Jamaal Bowman introduced the Living Wage for Musicians Act, which calls for streaming royalties of at least one cent per stream.
Despite the criticism, Spotify has defended its payment record, stating it distributed $10 billion to the music industry in 2024, a figure it claims demonstrates growing support for creators.
Related: Spotify Updates AI Policy to Label AI Music, Ban Voice Clones, and Combat Spam
With this clarification, Spotify hopes to ease concerns while continuing to balance user features with artist protections.
