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AI Bands Make Their Mark on Streaming Platforms - WR #273
Weekly Roundups
July 4, 2025

AI Bands Make Their Mark on Streaming Platforms - WR #273

This week, AI and Spotify are making headlines. Fully AI-generated bands are emerging on the platform, raising big questions about the future of music creation. Here's what you need to know!

#1. End of the Battle Between AI and Intellectual Property?

Since July 1, AI web crawlers have been blocked from accessing content hosted via the services of a major American tech company. This move, welcomed by Universal Music Group, is designed to prevent the unauthorized scraping of text, images, and music by AI systems, while laying the groundwork for an automated licensing market. From now on, publishers can monetize access to their content through a “pay-per-crawl” model or manually choose which bots are allowed to access it.

In response to the growing “zero-click” phenomenon, where users rely on AI-generated answers without visiting the original sources, the company aims to give creators back control. For Universal Music Group, this initiative paves the way for a more ethical AI, one that respects both creators and copyright laws. While some researchers fear it may hinder open scientific inquiry, this decision could mark a turning point in the ongoing clash between AI and intellectual property.

#2. Indies, Majors: What If the Real Battle Lies Elsewhere?

In a hard-hitting op-ed, Kenny Gates, co-founder of PIAS, directly addresses IMPALA’s criticism of Universal Music Group’s acquisition of Downtown. Gates, whose company was acquired by UMG in 2023, denounces what he calls IMPALA’s “misleading rhetoric,” accusing the organization of fueling a futile divide between majors and indies. In his view, the very organization he helped found is drifting from its original mission by refusing to acknowledge the value of positive alliances between independents and major players.

Rather than fighting the majors, Gates urges the independent sector to unite around the true challenges facing the music industry today: the unchecked use of content by tech platforms, the growing influence of private equity, the risks posed by AI, and the loss of value in short-form content. His punchy response reignites a pressing question for 2025: what does being "independent" really mean in today’s music ecosystem?

#3. A Million Streams... for an AI on Spotify

Aventhis, a rising outlaw-country star on Spotify, may not be human after all. According to Music Business Worldwide and tech firm Uhmbrella, over 85% of Aventhis’s tracks were generated using AI tools like Suno and Riffusion. But who actually owns this music? Can copyright be claimed on works created by AI? The legal gray area is vast especially since platforms like Riffusion prohibit commercial use in their terms of service. As AI-generated content floods streaming platforms, the music industry finds itself facing a new gold rush… with no clear rules.

#4. An AI Ghost Band Just Tricked Spotify

The "band" Velvet Sundown blew up on Spotify with over 500,000 monthly listeners except it doesn’t actually exist. Created using the generative AI tool Suno, the project is now being framed as both an artistic performance and a marketing stunt, according to the group’s spokesperson. 

What’s concerning is that Spotify currently has no rules in place to identify or limit the spread of AI-generated music. Its algorithms, now more opaque and heavily driven by audio characteristics, can push tracks to listeners without any human oversight. The situation reignites the debate around authenticity in music and copyright protection. A clear framework is urgently needed, as AI is only just beginning to shake up the industry.

#5. A Partnership Between Netflix and Spotify?

Netflix and Spotify are discussing a groundbreaking partnership centered around music. The lineup could include award shows, live concerts, celebrity interviews, and quick-turnaround documentaries. The goal is to strengthen their music content offering as Netflix aims to reclaim its position as the go-to entertainment platform.

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