Apple plans to recognize and reward record labels and artists who embrace spatial audio, an immersive audio format surpassing traditional stereo. As per a Bloomberg report, artists adopting spatial audio will receive enhanced incentives starting the upcoming year, potentially resulting in increased royalties.
Given that Apple's audio devices, including AirPods, HomePod, iPhone, and the forthcoming Vision Pro headset, support spatial audio playback, the company's strategic move aims to ensure a substantial catalog of music on Apple Music adopts this feature, positioning it as a distinctive selling point. Importantly, artists stand to benefit even if Apple Music users do not necessarily stream songs in spatial audio; the mere availability of their music in this format qualifies for rewards.
Spatial audio, integrated into Apple Music in 2021 and powered by Dolby Atmos technology, offers a heightened audio experience. Bloomberg notes that artists can choose to remix their older tracks in spatial audio, a process that, according to reports, is not prohibitively expensive. This initiative could particularly appeal to independent musicians and smaller acts.
While competitors like Amazon Music and Tidal also provide spatial audio, Spotify, Apple's major music streaming rival, remains an exception. Despite persistent rumors surrounding a high-quality music format on Spotify, the platform has yet to adopt spatial audio.
The transaction, which is subject to regulatory approvals, is expected to close in the second half of 2025.
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