diff --git a/Music/ViewModels/PlayerViewModel.swift b/Music/ViewModels/PlayerViewModel.swift
new file mode 100644
index 0000000..55c8392
--- /dev/null
+++ b/Music/ViewModels/PlayerViewModel.swift
@@ -0,0 +1,104 @@
+import Foundation
+import Observation
+
+@Observable
+final class PlayerViewModel {
+    var currentTrack: Track?
+    var currentIndex: Int?
+    var isShuffled = false
+
+    private(set) var queue: [Track] = []
+    private var originalQueue: [Track] = []
+    private let audio: AudioService
+    private let db: DatabaseService?
+    private var halfwayReported = false
+
+    init(audio: AudioService, db: DatabaseService?) {
+        self.audio = audio
+        self.db = db
+
+        audio.onTrackFinished = { [weak self] in
+            self?.trackDidFinish()
+        }
+    }
+
+    func setQueue(_ tracks: [Track]) {
+        originalQueue = tracks
+        if isShuffled {
+            queue = buildShuffledQueue(from: tracks, startingWith: currentTrack)
+        } else {
+            queue = tracks
+        }
+        if let current = currentTrack {
+            currentIndex = queue.firstIndex(where: { $0.id == current.id })
+        }
+    }
+
+    func play(_ track: Track) {
+        currentTrack = track
+        currentIndex = queue.firstIndex(where: { $0.id == track.id })
+        halfwayReported = false
+
+        guard let url = URL(string: track.fileURL) else { return }
+        audio.play(url: url)
+    }
+
+    func next() {
+        guard let idx = currentIndex else { return }
+        let nextIdx = idx + 1
+        if nextIdx < queue.count {
+            play(queue[nextIdx])
+        } else {
+            audio.stop()
+            currentTrack = nil
+            currentIndex = nil
+        }
+    }
+
+    func previous() {
+        guard let idx = currentIndex else { return }
+        let prevIdx = max(0, idx - 1)
+        play(queue[prevIdx])
+    }
+
+    func toggleShuffle() {
+        isShuffled.toggle()
+        if isShuffled {
+            queue = buildShuffledQueue(from: originalQueue, startingWith: currentTrack)
+        } else {
+            queue = originalQueue
+        }
+        if let current = currentTrack {
+            currentIndex = queue.firstIndex(where: { $0.id == current.id })
+        }
+    }
+
+    func checkHalfway() {
+        guard !halfwayReported,
+              audio.duration > 0,
+              audio.currentTime >= audio.duration * 0.5,
+              let track = currentTrack,
+              let trackId = track.id else { return }
+
+        halfwayReported = true
+        let newCount = track.playCount + 1
+        try? db?.updatePlayStats(trackId: trackId, playCount: newCount, lastPlayedAt: Date())
+    }
+
+    private func trackDidFinish() {
+        if let track = currentTrack, let trackId = track.id, !halfwayReported {
+            let newCount = track.playCount + 1
+            try? db?.updatePlayStats(trackId: trackId, playCount: newCount, lastPlayedAt: Date())
+        }
+        next()
+    }
+
+    private func buildShuffledQueue(from tracks: [Track], startingWith current: Track?) -> [Track] {
+        var shuffled = tracks.shuffled()
+        if let current, let idx = shuffled.firstIndex(where: { $0.id == current.id }) {
+            shuffled.remove(at: idx)
+            shuffled.insert(current, at: 0)
+        }
+        return shuffled
+    }
+}
diff --git a/MusicTests/PlayerViewModelTests.swift b/MusicTests/PlayerViewModelTests.swift
new file mode 100644
index 0000000..3a973a5
--- /dev/null
+++ b/MusicTests/PlayerViewModelTests.swift
@@ -0,0 +1,105 @@
+import Testing
+import Foundation
+@testable import Music
+
+@MainActor
+struct PlayerViewModelTests {
+    private func makeTracks(_ count: Int) -> [Track] {
+        (0..<count).map { i in
+            Track.fixture(
+                id: Int64(i + 1),
+                fileURL: "/track\(i).mp3",
+                title: "Track \(i)"
+            )
+        }
+    }
+
+    // Sets the queue and plays a track, verifies current track and index are set.
+    @Test func playTrackSetsCurrentTrackAndIndex() {
+        let vm = PlayerViewModel(audio: AudioService(), db: nil)
+        let tracks = makeTracks(5)
+        vm.setQueue(tracks)
+        vm.play(tracks[2])
+
+        #expect(vm.currentTrack?.id == 3)
+        #expect(vm.currentIndex == 2)
+    }
+
+    // Calls next() and verifies it advances to the next track.
+    @Test func nextAdvancesToNextTrack() {
+        let vm = PlayerViewModel(audio: AudioService(), db: nil)
+        let tracks = makeTracks(5)
+        vm.setQueue(tracks)
+        vm.play(tracks[0])
+        vm.next()
+
+        #expect(vm.currentTrack?.id == 2)
+        #expect(vm.currentIndex == 1)
+    }
+
+    // Calls next() on the last track and verifies it stops (no wrap for v1).
+    @Test func nextAtEndStops() {
+        let vm = PlayerViewModel(audio: AudioService(), db: nil)
+        let tracks = makeTracks(3)
+        vm.setQueue(tracks)
+        vm.play(tracks[2])
+        vm.next()
+
+        #expect(vm.currentTrack == nil)
+    }
+
+    // Calls previous() and verifies it goes to the previous track.
+    @Test func previousGoesToPreviousTrack() {
+        let vm = PlayerViewModel(audio: AudioService(), db: nil)
+        let tracks = makeTracks(5)
+        vm.setQueue(tracks)
+        vm.play(tracks[3])
+        vm.previous()
+
+        #expect(vm.currentTrack?.id == 3)
+    }
+
+    // Calls previous() on the first track and verifies it stays at the first track.
+    @Test func previousAtStartStaysAtFirst() {
+        let vm = PlayerViewModel(audio: AudioService(), db: nil)
+        let tracks = makeTracks(3)
+        vm.setQueue(tracks)
+        vm.play(tracks[0])
+        vm.previous()
+
+        #expect(vm.currentTrack?.id == 1)
+        #expect(vm.currentIndex == 0)
+    }
+
+    // Enables shuffle and verifies the shuffled queue contains all tracks
+    // and starts with the current track.
+    @Test func shuffleContainsAllTracksStartingWithCurrent() {
+        let vm = PlayerViewModel(audio: AudioService(), db: nil)
+        let tracks = makeTracks(20)
+        vm.setQueue(tracks)
+        vm.play(tracks[5])
+        vm.toggleShuffle()
+
+        #expect(vm.isShuffled == true)
+        #expect(vm.currentTrack?.id == 6)
+
+        let shuffledIds = Set(vm.queue.map { $0.id })
+        let originalIds = Set(tracks.map { $0.id })
+        #expect(shuffledIds == originalIds)
+    }
+
+    // Disables shuffle and verifies the queue returns to original order
+    // and current track is preserved.
+    @Test func unshuffleRestoresOriginalOrder() {
+        let vm = PlayerViewModel(audio: AudioService(), db: nil)
+        let tracks = makeTracks(10)
+        vm.setQueue(tracks)
+        vm.play(tracks[3])
+        vm.toggleShuffle()
+        vm.toggleShuffle()
+
+        #expect(vm.isShuffled == false)
+        #expect(vm.currentTrack?.id == 4)
+        #expect(vm.queue.map { $0.id } == tracks.map { $0.id })
+    }
+}