Trevor Noah, Dax Shepard, Steven Bartlett Will Sound Natural In Spanish, French, German — Spotify Tests New AI Feature

In the face of a continued struggle to attain profitability, Spotify Inc. SPOT is banking on the future of podcasting and has launched a trial for an AI feature that translates and mimics podcast hosts’ voices into various languages.

What Happened: According to a report by Fortune on Sunday, Spotify is exploring a feature that converts English podcasts into Spanish, French, and German through AI technology. This algorithm strives to recreate the tone, rhythm, and pace of the speaker's voice, thereby providing a consistent listening experience in different languages.

The early test includes renowned English-language podcasts such as “Armchair Expert,” “The Diary of a CEO,” and “The Rewatchables.” The firm anticipates extending this feature to more podcasts, inclusive of an upcoming original by ex-Daily Show host Trevor Noah, who will be dubbed by AI, despite being multilingual.

Despite an intense investment in the podcasting sector, Spotify's primary business is still not profitable, as revealed during the company’s investor day in June 2022. The company has allocated approximately $1 billion in an attempt to solidify its presence in the podcasting industry.

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Why It Matters: Regardless of signing influential talent with lucrative contracts, the outcomes have been inconsistent. The $20 million agreement with Meghan Markle and Prince Harry concluded prematurely due to a low audience. Spotify also committed $200 million over a span of three and a half years to Joe Rogan, and $60 million to Alex Cooper's “Call Her Daddy,” with disparate results.

However, Spotify’s determined entry into podcasting has resulted in an increase in its overall monthly average users, which surpassed 500 million in the first quarter of this year. CEO Daniel Ek has recognized the company's overinvestment in podcasting and assured more prudence in future contract offers.

Despite the difficulties, Spotify’s podcast ad sales rose by €22 million ($23.3 million) in the first half of this year, with the second quarter ad revenue increasing 30% year over year.

Spotify’s exploration of AI technology isn’t new. Earlier in March 2023, the company revealed a feature called ‘Personal DJ’ that uses AI to produce unique playlists tailored to each user’s listening history and preferences, as noted by Benzinga.

The introduction of an AI translation feature for podcasts represents another step in Spotify’s use of advanced technology to enhance user experience and potentially drive growth in its podcasting business.

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