Artists can select the "AI-Friendly" button to allow fans to upload AI tracks based on their work.
There will also be a panel on the 50th anniversary of hip-hop.
The fund launches with initial stakes in OpenAI, Anthropic and StabilityAI.
With the "right incentive structures," platforms can eliminate "unauthorized, unwanted, and infringing content entirely," says the CEO.
The mysterious tune appears to be from the same author as "Heart On My Sleeve."
While acknowledging some of the risks, the CEO says AI tools for artists are "great culturally" and could "benefit Spotify" by growing engagement and revenue.
It's creatives vs. computers as artists fight to protect their copyrights.
Artists and labels have legal tools to fight fakes created by artificial intelligence, but massive questions about AI-generated music loom unanswered.
"This is an area where NAB will absolutely be active," Curtis LeGeyt asserted at the National Association of Broadcasters Show in Las Vegas.
As an allegedly AI-generated song racks up millions of listens, UMG warns that industry players need to choose "which side of history" they want to be on.