Spotify Unveils AI-Powered Ads and Real-Time Ad Buying Platform 2025
Yesterday, it was revealed on the 2nd of April 2025 that Spotify has brought big updates to their advertisement ecosystem. The company not only the Generative AI (Gen AI) ads but also the Spotify Ad Exchange (SAX) a new programmatic ad-buying platform.
These were introduced at the event in New York City on April 3, 2025, but there were some reports already floating around one day earlier.
Advertisers from the US and Canada can leverage Spotify’s Ads Manager to create audio ad scripts and voiceovers powered by artificial intelligence, that is the Gen AI ads.
The goal is to automate the process of producing ads and, on top of that, to make it more achievable for marketers. Thus, the Spotify Ad Exchange (SAX) is the system that facilitates bidding in real-time for the availability of the Spotify premium users, which apart from offering full addressability also provides measurement capabilities.
Besides, Spotify has tied up with platforms like Google’s Display & Video 360, Magnite, Yahoo DSP, Adform, and the others (and more partnerships are in the cards) to execute the programmatic buying system.
The features are framed with the aim of rendering advertisers capable of targeting Spotify’s huge Gen Z userbase more precisely, the number of which exceeds 251 million.
The firm stressed that this group is very engaging on the platform all day long, thus being the primary target for advertisers.
Such initiatives follow the course of Spotify to infuse high-tech tools into their advertising products, as well as to broaden their presence in the world of brands.
MF Hussain
Hello! I’m MF Hussain, the creator of Spotifyinfo.net, a site that helps Spotify users enjoy their music more. With Spotify Premium, I can access a huge library of songs, create my own playlists, and listen without ads. I share my experiences to help others improve their Spotify journey.
