Spotify has agreed to a new licensing agreement with Universal Music Group, both companies announced today (April 4th).

As part of the deal, Spotify has agreed to allow new albums from Universal artists to be restricted to its premium service for up to two weeks before being released.

In a statement, Spotify CEO Daniel Ek confirmed that Spotify understands that its policy of releasing albums across its entire service.

Ek said:

“We know that not every album by every artist should be released the same way, and we’ve worked hard with UMG to develop a new, flexible release policy. Starting today, Universal artists can choose to release new albums on premium only for two weeks, offering subscribers an earlier chance to explore the complete creative work, while the singles are available across Spotify for all our listeners to enjoy.”

Sir Lucian Grainge, Chairman and CEO of Universal Music Group, had this to say:

“Eight years ago, when streaming was a welcome but small source of revenue, UMG embraced partners like Spotify as a way to help return music to a vibrant future benefitting the entire ecosystem. Working hand in hand with these digital services brought us the industry’s first real growth in nearly two decades. Today, streaming represents the majority of the business. Our challenge is transforming that upturn into sustainable growth. In a market this dynamic, one evolving more rapidly than ever before, success requires creative and continual re-evaluation of how best to bring artists’ music to fans. At UMG, we’ve not only reimagined distribution models and technologies, but entire business models. The only constants must be great music and fair compensation for artists and creators. To that end, the long-term success of Spotify, and others like it, is essential to the ecosystem’s enduring health. I congratulate Daniel on Spotify’s continued growth and innovation, and I look forward to working together with him and his team to develop exciting new ways to connect artists and fans around the world.”

Spotify did not disclose details of the agreement in the statement, such as the fee structure or its exact duration but we’re sure they will be revealed soon.

What do you think of this new deal between Spotify and Universal Music Group? Let us know below.