Spotify's "ghost artists" phenomenon is getting renewed attention through an upcoming book, "Mood Machine: The Rise of Spotify and the Costs of the Perfect Playlist," set to release on January 7th.

The book, authored by Liz Pelly, reveals Spotify's "Perfect Fit Content" (PFC) program, which involves partnerships with production companies to create low-cost music for platform-curated playlists. Through extensive research, including ex-employee interviews and internal records, Pelly uncovered that at least a dozen companies, not just the previously known Firefly Entertainment and Epidemic Sound, are involved in this practice.

Key findings from the investigation:

• The program deliberately seeds tracks across platform playlists to maximize low-cost music presence
• Spotify hired editors who were comfortable with the PFC model despite initial internal resistance
• Internal messages reveal multiple PFC providers beyond the commonly known companies
• The practice affects royalty distribution and promotional opportunities for legitimate artists

Recent developments highlight the growing concern:

• A $10 million royalty heist indictment in the US
• Danish trial regarding fake stream operations
• Johan Röhr's alleged creation of 650+ artist profiles generating 15 billion streams
• Swedish gangs reportedly using fake streams for money laundering

While Spotify maintains it doesn't guarantee playlist placement in licensing agreements, the UK's CMA investigation found that some major label agreements require playlist representation proportional to overall stream share.

Looking ahead, the potential integration of AI in creating these "ghost tracks" could further impact independent and unsigned artists, who already face challenges under Spotify's revised royalty model.

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