Liz Pelly's book examines Spotify's playlist algorithm and its effects on the music industry

Music journalist Liz Pelly's new book, "Mood Machine," explores Spotify's powerful algorithm and its impact on the music industry. The book highlights the rise of "ghost artists," or fake profiles, which have emerged as a side effect of Spotify's playlisting practices. Pelly reveals that Spotify has been sourcing prefab instrumentals to populate its playlists, often using anonymous artists. A 2022 investigation found that a small group of songwriters was behind hundreds of these profiles, raising concerns about transparency in the streaming service. The book also discusses the close ties between Spotify and production companies like Firefly Entertainment, which have benefited from the algorithm's promotion of these ghost artists. This connection has led to significant revenue growth for these companies, while independent artists face challenges in gaining visibility.