Spotify Technology (SPOT) is in the spotlight after a large-scale data leak linked to its music catalog appeared on peer-to-peer platforms. According to online archives, a group that promotes public access to media has released what it claims is over 300 terabytes of Spotify audio and metadata. The group says it pulled in 86 million audio files and 256 million rows of track data.
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The platform confirmed that some audio files were accessed using illicit methods that bypass digital rights controls. Spotify says it is now investigating the breach and working to reduce further risk. The company did not report how many audio files were taken or shared.
Meanwhile, SPOT shares rose 3.25% on Friday, closing at $582.16. Furthermore, the stock is still rising in pre-market trading despite news of the data breach.
Metadata at Scale, Audio in Stages
At the core of the leak is a large scrape of Spotify’s public metadata. This includes names, artists, genres, play counts, and more. That type of data has long been available through Spotify’s APIs. However, the more sensitive part involves direct access to audio files.
The group behind the leak said it prioritized popular tracks. It is sharing the data in parts, starting with songs that rank high on Spotify’s internal play count metrics. According to public statements, the goal is to preserve cultural content rather than profit from the music.
Still, security researchers and legal experts say the scale of the breach, if accurate, would be one of the largest digital media leaks to date. Some believe users could now build their own private streaming service using open-source tools and local storage. Others note that the music files could be used by AI firms to train large models without paying music rights holders.
Legal Exposure and Training Risk
Copyright remains a key issue. The rise of AI has pushed the value of licensed music catalogs higher, as developers of large language and generative models look for fresh audio to train systems. If platforms lose control of these libraries, enforcement becomes harder and lawsuits more likely.
Spotify did not confirm whether the leaked files contain high-quality formats or full catalogs from major labels. At the time of writing, no legal action has been announced by key publishers or record firms.
So far, the company’s stock has shown limited impact. However, the event could weigh on future licensing talks if rights holders question the platform’s ability to secure its content.
Is SPOT a Good Stock to Buy?
Turning to the Street, Spotify boasts a Moderate Buy consensus, based on 26 analysts’ ratings. The average SPOT stock price target is $773.50, implying a 32.87% upside from the current price.
