Napster relaunches as AI music platform, letting users co-create with AI artists instead of streaming

Reviewed byNidhi Govil

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The once-notorious music piracy site Napster has returned as an AI-first platform focused on music creation rather than streaming. Users can now generate tracks with AI collaborators across multiple genres, while the company faces a $9.2 million lawsuit from Sony Music over unpaid royalties and declares that major labels are obsolete in the new era of music.

Napster Returns as AI Music Creation Platform

Napster has returned with a radical transformation, abandoning traditional music streaming to become an AI music creation platform. The new mobile app for iOS and Android, launched by parent company Infinite Reality, centers entirely on AI-generated content rather than licensed catalogs from record labels

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. CEO John Acunto frames this shift as ending "the age of passive consumption," positioning users as co-creators who can generate music, podcasts, and wellness audio through prompt-driven music generation

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Source: Rolling Stone

Source: Rolling Stone

The AI creation platform features over 15,000 AI Companions powered by Google Gemini, each representing different genres from hip-hop to rock, country, and indie

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. Users select an AI collaborator and type prompts to generate tracks within minutes. CTO Edo Segal describes the experience as "jamming" with AI artists, creating "more of an experience" that mimics how humans collaborate musically

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. The app positions itself differently from competitors like Suno by emphasizing personality-driven interactions with conversational AI video agents

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Source: Gizmodo

Source: Gizmodo

Mixed Reception to AI-Generated Music Quality

Early testing reveals the polarizing nature of AI-generated music on the platform. One reviewer created a playlist dividing tracks into "Bangers" and "Duds," finding that some AI artists produced surprisingly catchy hooks and decent production, while others delivered generic, soulless output

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. Tracks like "Midnight Serenade" earned repeat listens for their '80s R&B vibes, while others like "Summer Breeze" sounded indistinguishable from generic electronic dance music

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Another tester requested music with a "Bristol, UK sound like Massive Attack" and received "Bristol Nights," a 3:07-minute track that sounded "moody and downbeat, as requested, but a bit soulless and bland, a little too perfect"

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. Critics note the platform lacks transparency about training data, though Napster promises to license "ethically trained" models

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. The criticism mirrors broader concerns about AI slop flooding the music industry, with some calling the platform a "slop farm" that strips creativity and soul from artistic expression

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Legal Troubles and Major Label Conflict

The relaunch arrives amid significant legal and financial turbulence. Sony Music filed a lawsuit in August alleging $9.2 million in unpaid royalties, claiming Napster continued streaming Sony's catalog even after their licensing agreement terminated in June 2025

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. SoundExchange also sued over royalties, and at least half a dozen other labels and distributors have publicly complained about missing payments

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Acunto remains defiant, telling Rolling Stone: "We don't think that the future of music involves the labels anymore. I just think they're dead"

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. He argues that major labels suppress artists from owning their content and data, claiming platforms like TikTok and Instagram now distribute music more effectively than traditional labels. The company shut down its user-scarce streaming service three weeks before launching the AI music app, acquired last March for $207 million by Infinite Reality, a metaverse and AI firm

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. A promised $3 billion funding round collapsed after the investor allegedly vanished, with Napster describing itself as a "victim of misconduct" and cooperating with law enforcement

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Broader Implications for the Music Industry

The shift raises questions about the future relationship between human artists and AI-generated content. AI artists have already charted on Billboard, with tracks like "Walk My Walk" by Breaking Rust and "Let Go, Let God" by Xania Monet exposing listeners to music that may sound eerily similar to human artists

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. Major labels are reportedly "signing" AI artists and flooding streaming services with algorithmically optimized content to reduce costs

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For Napster, music represents just one component of a larger AI ecosystem that includes Napster View, a $99 holographic display projecting AI companions, and Station, an AI concierge kiosk

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. While older listeners may recall Napster's history of copyright infringement and industry disruption, younger users might view it simply as another creative platform where music is generated and shared in real time without involving traditional artists

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. Whether this approach can make Napster relevant again remains uncertain, but it signals a bet that the next revolution involves shifting control away from both the industry and human artists themselves

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