Music Industry

Splice Bets Big on AI Music Creation with Spitfire Audio Acquisition

Credit: splice.com (edited)

Key Points

  • Splice acquires Spitfire Audio for $50 million to enhance its AI capabilities in music creation.
  • The acquisition aims to merge Splice's mass-market platform with Spitfire's high-end orchestral libraries.
  • The deal marks Splice's entry into the $640 million plugin market, with plans for collaborative products.

AI is redrawing the lines of music creation and artist trust hangs precariously in the balance. Now, sample giant Splice is placing a hefty $50 million bet on bridging that gap, acquiring the revered orchestral library developer Spitfire Audio in a move testing the delicate equilibrium between AI utility and artistic integrity.

Splice's AI ambition: The acquisition marks a push by Splice to up its AI capabilities, aiming to integrate Spitfire’s high-fidelity sounds with its own technology, such as the AI-powered Splice Create tool. Splice CEO Kakul Srivastava emphasized the goal is augmentation, stating a shared vision "to develop tools that expand – not replace – human creativity."

Spitfire's unique value: Spitfire Audio, founded in 2007 by composers Paul Thomson and Christian Henson, carved its niche providing meticulously sampled virtual instruments. The company is favored by film and television composers, and known for its high-end orchestral libraries and collaborations with institutions like the BBC Symphony Orchestra and renowned facilities like Abbey Road Studios.

Bridging two worlds: The deal merges two distinct corners of the music tech world: Splice’s mass-market, subscription-driven platform popular with pop, hip-hop, and electronic producers, and Spitfire’s premium, perpetual-license model catering to professional composers seeking deep instrumental realism, something MusicRadar labeled as "unlikely bedfellows."

The 'ethical AI' pitch: Srivastava has positioned the merger around developing sophisticated, "ethical AI" tools that empower artists rather than simply automating song generation. "Simplistic AI tools where you type in a prompt and a song comes out? Most musicians don’t want to make music that way," Srivastava explained in comments reported by Attack Magazine. She suggested AI could enable creators to "merge instruments in new ways to create novel sounds," leveraging Spitfire's library with Splice's technology.

Creator concerns persist: Despite assurances, the integration raises questions within Spitfire’s user base, accustomed to perpetual licenses and wary of AI's encroachment. Spitfire co-founder Paul Thomson addressed this directly, stating, "There’s a lot of fear, understandably, around AI in the music creation community." While reassuring users in an announcement on Spitfire's website that "We’re still going to be providing perpetual license products," some users remain unconvinced, with comments on the announcement video expressing worry about future stability.

Market implications: The move also marks Splice’s significant entry into the lucrative $640 million plugin market, adding to its existing sample subscription and rent-to-own businesses. It positions the combined company to capitalize on growth in the wider music creation sector, projected by MIDiA Research to nearly double to $14 billion by 2031.

Leadership and future plans: For now, both companies will continue to operate independently. Olivier Robert-Murphy remains Spitfire Audio CEO, reporting to Srivastava, while co-founder Paul Thomson will continue to oversee Spitfire’s creative direction. The companies anticipate releasing the first collaborative products in the next six to nine months.