Copyright Royalty Board sets streaming rates for Amazon and Google amid AI fraud concerns
What happened
The Copyright Royalty Board is determining streaming rates for 2028-2032 for services including Amazon and Google. The court must also address streaming fraud, which is being exacerbated by artificial intelligence (AI). The Department of Justice previously announced the guilty plea of Michael Smith, who created hundreds of thousands of AI songs that were streamed billions of times.
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Why it matters
Streaming services pay songwriters based on a percentage of revenue, distributed proportionally by plays. Fraudulent streams, which are increasing due to AI, directly reduce the total royalty pool available to human composers and rights holders. The Board's determination sets the terms for how much tech giants must pay songwriters.
AI adoption is being viewed as a modern Luddite risk, affecting major companies like Google and Amazon which utilize AI in their services.
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Who's involved
- AmazonSubject of streaming rate determination by the Copyright Royalty Board.
- GoogleSubject of streaming rate determination by the Copyright Royalty Board.
- Copyright Royalty BoardAgency determining copyright license terms and streaming rates.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- AmazonSpeculative
Amazon could see changes in cost structure due to the Copyright Royalty Board's determination of streaming rates.
- GoogleSpeculative
Google could see changes in cost structure due to the Copyright Royalty Board's determination of streaming rates.
- Alphabet Inc.Speculative
Alphabet Inc. might see reduced royalty pool revenue due to regulatory action and fraud.
- Apple Inc.Speculative
Apple Inc. might see reduced royalty pool revenue due to regulatory action and fraud.
- DeezerSpeculative
Deezer could experience reduced royalty payments and a shrinking revenue pool due to operational risks from AI fraud.
Possible ripples
Who this could reach next, traced step by step from the reporting. Possibilities worth considering, not forecasts.Keep exploring
The entities involved
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Amazon
American multinational technology company
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Google
American multinational technology company, a subsidiary of Alphabet Inc.
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Copyright Royalty Board
U.S. system to determine copyright license terms
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