U.S. Copyright Office Opens Inquiry Into AI-Enabled Music Streaming Fraud
The U.S. Copyright Office published a Notice of Inquiry on Music Streaming Fraud on October 7, 2026, seeking public input on the prevalence of fake streams, the commercial mechanisms that facilitate fraud, the effectiveness of platform and distributor measures, and potential legal remedies.
The notice notes that digital streaming has become the dominant form of recorded music consumption, accounting for roughly 70% of global recorded music revenue. It defines streaming fraud as artificially inflating play counts through deceptive, improper, or unauthorized means to gain financial benefits or other advantages, including bot accounts, click farms, playlist manipulation, account theft, and rights impersonation.
The inquiry follows a recent case that illustrates the issue. On October 6, 2026, Michael Smith of North Carolina was sentenced to 18 months in prison for using AI-generated songs and about 10,000 bot accounts to generate billions of fraudulent streams, stealing over $8 million in royalties. The notice highlights how AI-generated content combined with automated accounts can scale fraud and dilute royalty shares for legitimate creators.
The Copyright Office also reviews existing anti-fraud measures by platforms, distributors, rights holders, and industry organizations, while acknowledging that fraudsters moving between distributors can weaken individual enforcement. Initial comments are due by November 23, 2026, and reply comments by December 21, 2026.
