How technology will reshape the music industry in 2026

From artificial intelligence-driven creation to direct-to-fan platforms and the revival of physical music formats, technology is redefining ownership, monetisation, and power dynamics in the global music industry. Experts say African artists and labels must adapt quickly to stay competitive.

More than ever, 2025 revealed how technology dictates the pace of the music industry, as the incursion of high-powered artificial intelligence (AI) and other innovations disrupted the realities of creators and business leaders alike. Technological advancements opened a new frontier for the industry and its practitioners, with industry-wide repercussions, even as the streaming revolution continued at full throttle.

In Nigeria, music revenues hit an estimated $600 million annually, while subscriptions rose by 206 percent to $5.2 million.

Even in Africa, all of these micro-evolutions are being felt in a rapidly-evolving industry that has become an important part of local economies.

To better understand the current landscape and brace for another year likely to be shaped by technological disruption, BusinessDaySUNDAY spoke with Spotify’s West African Artist & Label Partnerships Manager, Victor Okpala, to share some of his thoughts on what tech trends will be crucial to reshape the music business in 2026.

Okpala plays a critical role in driving digital adoption within the continent’s music ecosystem through his work at the world’s largest audio streaming service, Spotify. According to him, “2026 will be shaped by the desire for ownership of audience, music rights, and content.” He breaks it down below.

Direct-to-fan infrastructure as a necessity: audience ownership

One of the most significant shifts is the growing move toward direct-to-fan infrastructure as artists seek greater control over their audiences.

The fragmentation of audiences across social platforms has reached a breaking point. Algorithm changes on Instagram, TikTok, or other social networks can drastically reduce an artist’s reach overnight, creating volatility that threatens long-term engagement.

This has driven a global trend toward direct-to-fan tools that enable true audience ownership. Platforms for newsletters, SMS communities, and membership sites are on the rise, providing artists with direct lines of communication independent of algorithmic influence.

“This shift isn’t just about marketing,” Okpala noted. “It’s about survival and sustainability. Artists who own their audience data and communication channels can weather platform changes and build careers on their own terms.”

Renewed human and machine collaboration with AI: music rights ownership

The parameters of the music creation process have never been as uncertain as they are now, thanks to the rise of AI tools that generate music off simple prompts.

However, the adoption of artificial intelligence in music is nearing a stage of maturation due to aggressive rightsholders’ discussions.

A clear example is AI company Suno, which recently revised its terms following a settlement with Warner Music Group. The company shifted from explicitly stating “you own the songs” to clarifying that users are “generally not considered the owner of the songs, since the output was generated by Suno.”

“These policy shifts are creating a watershed moment. Okpala said. He added that artists and stakeholders who genuinely value ownership are being forced to reconsider how they engage with AI tools.

Rather than using AI as a creator that generates complete works, we’re going to see a pivot toward AI as simply a creative companion that accelerates human creative processes while keeping the artist firmly in control and retaining full ownership of their music rights.

This is evidenced by the recent collaboration between Nigerian singer, FAVE and Urban Chords in 2025.

Music hardware revival: content ownership

The music industry is also witnessing a significant shift in consumer audio hardware, driven by a fundamental craving: listeners want music to feel tangible and collectible again. As everything is instantly available through streaming, physical ownership is beginning to regain value.

“This demand is driving a mobile audio hardware trend,” Okpala said. “Manufacturers are creating innovative CD players, micro cassette devices, and portable playback systems in analogue and hybrid formats. While this is largely a global market trend, it’s a matter of time before local adoption follows.

He added that record labels and manufacturer partnerships that trickle down within this space to max on high price margins of physical sales whilst fulfilling audience craving for memorabilia.

Ultimately, Okpala noted, 2026 is a year when technology will enable ownership at a significant scale in the music industry. Whether through audience, content, or rights ownership, these trends are expected to expand beyond niche adoption and redefine how artists, labels, and fans engage with music.

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