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# Music industry faces AI deals, streaming fraud crises

**[The Next Web](https://daily.dev/sources/tnw)** · 5 min read · 0 upvotes · 0 comments

## Summary

The music industry is navigating four simultaneous crises. AI licensing deals are now live: NMPA struck agreements with Udio and Klay, Spotify partnered with UMG to let Premium users remix songs via AI, while Suno remains in active litigation. Publishers are openly challenging performing rights organisations over transparency and governance, with Kobalt's CEO claiming 30% of related income is unauditable. AI-powered streaming fraud is surging — a North Carolina man pleaded guilty after using AI to generate hundreds of thousands of songs and bot-stream them for $8M in fraudulent royalties, while Apple Music flagged roughly 2 billion fake streams in 2025 alone. Finally, a looming Copyright Royalty Board rate-setting cycle beyond 2027 threatens another drawn-out legal battle over mechanical royalty rates for streaming.

## Full article

daily.dev links to this article rather than hosting it. Read it at the original source: <https://thenextweb.com/news/music-industry-ai-deals-streaming-fraud-royalties-pro-crackdown>

## Similar posts on daily.dev

- [Universal and Warner Music close in on AI licensing deals with Google, Spotify, and startups Udio and Suno](https://daily.dev/posts/universal-and-warner-music-close-in-on-ai-licensing-deals-with-google-spotify-and-startups-udio-an-mro5yzygb) · The Verge · 1 upvotes · 0 comments

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