artificial intelligence
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A bipartisan group of U.S. House lawmakers announced a new bill on Wednesday (Jan. 10) that regulates the use of AI for cloning voices and likenesses. Called the No Artificial Intelligence Fake Replicas And Unauthorized Duplications Act of 2023 (“No AI FRAUD” Act), the bill aims to establish a federal framework for protecting one’s voice and likeness and lays out First Amendment protections.
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More federal and state legislation regulating artificial intelligence is expected to be announced later today, including a bill from Gov. Bill Lee of Tennessee also regarding AI voice and likeness cloning. On Jan. 5, Gov. Lee hinted at the subject of his forthcoming legislation: “As the technology landscape evolves with artificial intelligence, we’re proud to lead the nation in proposing legal protection for our best-in-class artists and songwriters.”
The No AI FRAUD Act was introduced by Rep. María Elvira Salazar (R-FL), the lead Republican sponsor of the bill, alongside Reps. Madeleine Dean (D-PA), Nathaniel Moran (R-TX), Joe Morelle (D-NY) and Rob Wittman (R-VA). It is said to be based on the Senate discussion draft Nurture Originals, Foster Art, and Keep Entertainment Safe Act (“NO FAKES” Act), which was announced last October.
“It’s time for bad actors using AI to face the music,” said Rep. Salazar. “This bill plugs a hole in the law and gives artists and U.S. citizens the power to protect their rights, their creative work, and their fundamental individuality online.”
AI voice synthesis technology poses a new problem and opportunity for recording artists. While some laud it as a novel marketing, creative or fan engagement tool, it also leaves artists vulnerable to uncanny impersonations that could confuse, scam or mislead the public.
An artists’ voice, image or likeness may be covered by “right of publicity” laws which protect them from commercial exploitation without authorization, but this is a right that varies state by state. The No AI FRAUD Act aims to establish a harmonized baseline of protection. Still, if one lives in a state with an even stronger right of publicity law than the No AI FRAUD Act, that state protection is still viable, and may be easier to address in court.
This bill is keeping with regulations that a number of music business executives, including those at Sony, ASCAP, UMG, have called for in recent months — following incidents like the viral fake-Drake song “Heart On My Sleeve.”
Mitch Glazier, chairman and CEO of the Recording Industry Association of America (RIAA), released a statement, showing support for the No AI FRAUD Act. “The No AI FRAUD Act is a meaningful step towards building a safe, responsible and ethical AI ecosystem, and the RIAA applauds Representatives Salazar, Dean, Moran, Morelle, and Wittman for leading in this important area. To be clear, we embrace the use of AI to offer artists and fans new creative tools that support human creativity. But putting in place guardrails like the No AI FRAUD Act is a necessary step to protect individual rights, preserve and promote the creative arts, and ensure the integrity and trustworthiness of generative AI. As decades of innovation have shown, when Congress establishes strong IP rights that foster market-led solutions, it results in both driving innovation and supporting human expression and partnerships that create American culture.”
Lucian Grainge, chairman and CEO of Universal Music Group, also shared his praise for the new bill in a statement: “Universal Music Group strongly supports the ‘No AI FRAUD Act’ because no one should be permitted to steal someone else’s image, likeness or voice. While we have an industry-leading track record of enabling AI in the service of artists and creativity, AI that uses their voice or identity without authorization is unacceptable and immoral. We call upon Congress to help put an end to nefarious deepfakes by enacting this federal right of publicity and ensuring that all Americans are protected from such harm.”
Universal Music chairman/CEO Lucian Grainge has released his annual New Year’s memo to staff today (Jan. 9), and used the moment to largely congratulate the world’s largest music company on what was, by many metrics, a huge year for the label and publishing conglomerate.
In his 2,500 word note, obtained by Billboard, Grainge went over many of the points that he raised in his New Year’s note in 2023, when he called for an “updated model” for the music industry, calling for streaming royalty reform in the face of increased fraud and a flood of non-artist music on platforms, and a forward-looking policy in confronting the challenges and opportunities brought by AI, including government protections for copyright and creators. And in this year’s letter, he touted UMG’s achievements on those fronts in the past year, citing the “several global platforms, including the world’s largest music platform, have already adopted artist-centric principles that will transform the way artists are compensated for their work,” referencing new royalty models proposed by Deezer, Spotify and others.
And on the AI front, Grainge cited UMG’s Responsible AI initiative, which lobbied the U.S. Congress on behalf of creators in protecting their works, as well as UMG’s partnership with YouTube to allow artists to develop tools to be able to utilize the advances that AI has brought. Grainge also mentioned UMG’s efforts in the spaces of health and wellness, climate change, sustainability and societal change, through its many task forces and foundations that have fought to promote and donate to coalitions that have helped feed the homeless, promote initiatives that use music to contribute to improved mental and physical health and other initiatives, including increased health care opportunities for musicians and their families.
And he also touted the massive success of UMG’s artists, publishing clients and labels, which dominated year-end charts, including Billboard’s. “To put it succinctly: UMG is the most successful company in the history of the music industry and every one of us should be enormously proud of what we have accomplished together, let alone what I know we will accomplish going forward,” Grainge wrote.
In shifting towards the future, Grainge first noted that UMG had continued its global expansion in the past year, particularly through the expansion and restructuring of distribution company Virgin Music Group, in the Middle East/Northa Africa, Thailand, India and China, to name a few. That is a plan that Grainge says promises to continue: “We will keep growing our presence around the world by doing just what we do in more established music markets: signing and developing local artists; providing local labels and entrepreneurs with global promotion, distribution, and a full suite of artist services; and acquiring local labels, catalogs and artist services businesses.”
In terms of other plans for 2024, Grainge notes that “both the pace of change and our industry leadership will increase significantly.”
In his 2023 note, Grainge wrote about the importance of addressing streaming royalty reform and making sure artists get their deserved share of the royalty pie; in 2024, he’s focused more on “grow[ing] the pie for all artists, by strengthening the artist-fan relationship through superfan experiences and products.” Grainge says that will be accomplished both through internal improvements and through partnerships with various platforms. And he promised to continue their already-underway push in protecting and promoting creators’ voices in the AI discussion.
“In short,” Grainge writes, “We are creating the blueprint for the labels of the future.”
What that blueprint may look like is still to come, however; Grainge also notes that the company will “further evolve our organizational structure,” suggesting that changes to how the overall company operates are on the horizon.
“As you know, over the past several years, we have been investing in future growth, not just expanding geographically and leveraging new technologies, but building our e-commerce and D2C operations,” Grainge writes. “In 2024, as we continue our industry-leading investments in A&R and artist development, we will further evolve our organizational structure to create efficiencies in other areas of the business, so we can remain nimble and responsive to opportunities as they arise, while also taking advantage of the benefits of our scale. In the face of so much change and opportunity, standing still is never an option.”
Read Grainge’s full New Year’s note to staff below.
Dear Colleagues,
Happy New Year! I want to express my deepest gratitude to every one of you for all of your hard work and also to take a few moments to review with you some of the highlights of 2023 and preview some of what’s to come in 2024.
Once again, 2023 saw Universal Music lead the industry in all major financial and competitive performance metrics, at the same time our artists broke records and topped the charts around the world. To put it succinctly: UMG is the most successful company in the history of the music industry and every one of us should be enormously proud of what we have accomplished together, let alone what I know we will accomplish going forward.
In fact, even beyond our artists’ extraordinary achievements and our financial results, there was so much more to be proud of this year.
By the beginning of 2023, it had become obvious that if the industry were to continue to thrive and the value of our artists’ work respected, a number of critically important issues would have to be confronted. As the industry leader we had a clear vision of how to address these issues. And then we went out and took bold steps to turn that vision into reality.
Last January, for example, I wrote to you about the streaming royalty model. A new model was needed, one that would properly reward the artist-fan relationship and disincentivize fraud and gaming the system. Because artists are at the center of everything we do, we called it the “Artist-Centric Model.”
I’m proud to say that in just a matter of months, several global platforms, including the world’s largest music platform, have already adopted artist-centric principles that will transform the way artists are compensated for their work. In the coming months, I believe you will see more platforms adopting these principles. Why? Because it is the right thing to do both for artists and for the wider music ecosystem. As this new model becomes widespread, the impact will be profound: a healthier, more equitable and more vibrant music ecosystem that rewards all artists — be they major, indie or DIY — at all stages of their careers.
In the same way, we showed the industry the way forward when it came to confronting the challenges and opportunities of AI.
Early on in 2023, many “experts” viewed AI as a looming threat. Our view? Just as we had done with so many other previous proclamations of doom, we rejected that short-sighted appraisal. On the contrary, we saw AI as presenting opportunities. And then, just as we did with streaming, we went out to turn those opportunities into reality.
We launched our Responsible AI initiative this year with two goals in mind. First, to lobby for “guardrails,” that is public policies setting basic rules for AI. In the U.S., for example we are lobbying for legislation that would establish a federal right of publicity to harmonize the protections of artists’ image, likeness and voice from AI deepfakes. We were the first music company to call upon the U.S. Congress to protect artists against unethical uses of AI.
Our second goal was to forge groundbreaking private-sector partnerships with AI technology companies. In the past, new and often disruptive technology was simply released into the world, leaving the music community to develop the model by which artists would be fairly compensated and their rights protected. In a sharp break with that past, we formed a historic relationship with our longtime partner, YouTube, that gives artists a seat at the table before any product goes to market, including helping to shape AI products’ development and a path to monetization.
Because we fundamentally believe the best way to ensure responsible AI development is through partnership and market-led solutions, in addition to YouTube, we are collaborating with several platforms on numerous opportunities and approaches — always with artists at the forefront of our thinking. In addition, our artists have begun working with some of the latest AI technology to develop tools that will enhance and support the creative process and produce music experiences unlike anything that’s been heard before. And to leverage AI technology that would benefit artists, we continue to strike groundbreaking agreements with, among others, Endel and BandLab.
We also advanced our initiatives in areas from health and wellness to sustainability and the environment.
The intersection of music and health is another exciting area about which I am especially passionate. We’ve all had experiences in which music changed our mood or comforted us in times of emotional crisis, or even helped us physically. In fact, it’s one of the reasons why so many of us have chosen to spend our careers in music. I’ve long wanted the powerful relationship between music and health to be more than a handful of subjective observations and anecdotes so that it could become a key component of our strategy.
Building upon our success in creating a robust commercial category in fitness, we’re now leading the industry in music and health. In September, we produced the first-ever Music + Health Summit where we brought our artists together with health entrepreneurs and leading neuroscientists to advance this new category. This came on the heels of us entering into a series of more than 40 license agreements to amplify the possibilities in this space. For example, we are pioneering a new category that we call “prescription music,” an evidence-based health technique built on scientific and medical research. What excites me is that it’s cost-effective, non-invasive and drives truly beneficial results. While it’s a field still in its infancy, this area will become an increasingly important component of our strategy.
In the same spirit of promoting positive change in society, our employees also accomplished amazing things. Throughout 2023, our All Together Now Foundation, Task Force for Meaningful Change, Green Team, Unhoused Coalition, and Employee Matching Program contributed to more than 500 organizations around the world, and supported over 1.2 million meals for those in need.
Moreover, in the more than three years since we established a groundbreaking relationship with the non-profit Music Health Alliance (MHA), 500 UMG and UMPG recording artists, songwriters and their families in the U.S. have received life-changing medical care. With this year’s dramatic jump in the need for mental health care within the artist and songwriter community, the MHA partnership significantly increased its support in that area.
Our efforts to move the industry on issues concerning sustainability and the environment led UMG and Bravado to host the first music industry sustainability summits in L.A., London, and New York. The series brought together industry leaders and innovators who made commitments to institute sustainable solutions across a range of categories including events, merchandise, touring and more. We co-founded the Music Industry Climate Collective, the new music industry alliance to address global climate change. And we became the first standalone major music company to win the approval of its greenhouse gas emission reduction targets by the Science Based Targets initiative, the gold standard for establishing corporate climate goals.
All of these initiatives are of course ultimately powered by the success of our artists and songwriters and the support that our employees around the world provide them. So let’s turn to the achievements of our artists and songwriters which were nothing short of astounding in 2023. Here are just a few examples.
Globally in 2023, UMG had:
On Spotify: Six of the Top 10 global artists: Taylor Swift (at No. 1), The Weeknd, Drake, Feid, Karol G and Lana Del Rey.
On Apple Music: 13 of the Top 20 most-streamed songs globally, with Morgan Wallen’s “Last Night” at No. 1.
On Deezer: The three most-streamed artists worldwide with The Weeknd, Taylor Swift and Imagine Dragons.
On YouTube: Three of the Top 5 songs, with Toosii’s “Favorite Song” at No. 1.
On Vevo: Karol G was the ‘Most Watched Artist’ for the third consecutive year.
On Amazon: The top two artists (Taylor Swift and Morgan Wallen), three of the Top 5 songs and albums, and the world’s most requested artist on Alexa (Taylor Swift).
And to break it down by region:
On Spotify: The four most-streamed artists in the U.S.: Taylor Swift, Drake, Morgan Wallen and The Weeknd.
On Apple Music: Five of the top seven songs in the U.S., with Morgan Wallen’s “Last Night” (at No.1), and “You Proof”; Drake & 21 Savage, “Rich Flex” and “Spin Bout U”; and Lil Baby “Freestyle”.
On the Billboard 200: Six of the Top 10 albums—Morgan Wallen’s One thing At A Time (No. 1), Taylor Swift’s Midnights (No. 2), Drake, 21 Savage’s Her Loss, Metro Boomin’s Heroes & Villains, Morgan Wallen’s Dangerous: The Double Album and Taylor Swift’a Lover;
Republic Records was named Billboard’s top label for the third consecutive year.
In the UK, according to the Official Charts Company, UMG had seven of the Top 10 artists, including Taylor Swift at No. 1, Drake and The Weeknd in the top five.
Also in the UK, UMG had all of the three nominees for the prestigious 2024 BRITs Rising Star award, with Island’s The Last Dinner Party taking the award, marking the third consecutive year a UMG artist has won.
In Germany, after having ALL of the Top 10 albums for a week in mid-November, a feat never before accomplished by any company; UMG finished the year with six of the Top 10 albums.
In Japan, UMG had five of the Top 10 albums according to Billboard Japan, including King & Prince at No. 1, while Ado’s single “Show” held the top spot on the weekly streaming chart for 14 consecutive weeks to finish the year.
In France, UMG had five of the Top 10 tracks overall, and three of the Top 5 tracks on Apple Music.
In Australia, UMG had the No. 1 album for 34 weeks this year, with albums from Taylor Swift, Sam Smith, Morgan Wallen, Lana Del Rey, Metallica, Peach PRC, Lewis Capaldi, Niall Horan, G Flip, Powderfinger, Olivia Rodrigo, Drake, Troye Sivan and The Rolling Stones.
In Canada, UMG had eight of the Top 10 albums, including albums from Morgan Wallen at No. 1, Taylor Swift, Metro Boomin, and The Weeknd, and held the No. 1 album for 33 weeks this year.
UMG Sweden’s Loreen won the Eurovision Song Contest with her single “Tattoo” and UMG Sweden had five of the Top 10 artists on Spotify.
At the Latin Grammys, Karol G swept three major awards, including Album of the Year, and Juanes won Best Pop/Rock Album, marking his 25th Latin Grammy award.
Feid continued his massive rise in 2023, as the third most-streamed Latin artist on Spotify, while Sebastián Yatra was recognized as “Artist of the Year” at the 2023 RIAA Honors.
In China, Wu Qingfeng’s Mallarme’s Tuesday won “Album of the Year” at the Golden Melody Awards.
In Indonesia, “Tak Segampang Itu” by Anggi Marito was the top song of the year on Spotify.
Juan Karlos became the first artist from the Philippines to enter the Top 100 Global Spotify Charts with his song “Ere,” which was No. 1 in the Philippines for 10 weeks.
Our Universal Music Publishing Group songwriters also performed spectacularly:
On Spotify’s 2023 most-streamed artists globally, we had four out of the Top 5 (Taylor Swift, Bad Bunny, The Weeknd and Drake) and seven out of the Top 10.
On Spotify’s most-streamed albums globally, we had four of the Top 5 (Bad Bunny, Taylor Swift, SZA, The Weeknd) and seven of the Top 10.
On Apple Music: UMPG had an interest in seven of the Top 10 most-streamed songs in the U.S.
On Billboard’s Hot 100 Songwriters in the U.S., UMPG had three of the Top 5 with Taylor Swift, Jack Antonoff and SZA.
In total, a spectacular performance. We should all be so proud of our artists and songwriters and the work we do to bring their music to the world.
In 2023, we also continued our strategy to expand our presence in high growth markets around the world — both through the strength of our companies in those regions as well as the expansion of Virgin Music Group.
We acquired Chabaka Music, a leading MENA-based company, as well as a majority stake in RS Group in Thailand.
In India we strengthened our position domestically with an exclusive partnership with Represent, a leading management company.
In China we signed new long-term agreements with superstar Eason Chan and with 2022’s No. 1 IFPI global album seller Jay Chou, that includes his JVR Music label.
Looking to 2024, both the pace of change and our industry leadership will increase significantly. We’ll be moving quickly and meaningfully on many different fronts.
Our pioneering artist-centric strategy will extend its reach. We first focused on a fairer way to allocate the streaming pie among real artists by addressing fraud and other aspects that deprive artists of their just compensation. The next focus of our strategy will be to grow the pie for all artists, by strengthening the artist-fan relationship through superfan experiences and products. We are already in advanced discussions with our platform partners regarding this phase and will have more to announce in the coming months. In addition, we will be building our in-house capabilities through groundbreaking partnerships that will accelerate our artists’ ability to create experiential, commerce and content offerings for their fans. In short, we are creating the blueprint for the labels of the future.
As for AI, we will continue building opportunity for our artists, while also leading the fight to protect them from unethical uses of this technology. And all around the world, we will continue to prioritize and fight for policies in the service of artistry — not at the expense of it. We also expect to announce more real-world commercial applications for artist-driven, ethical AI.
We will keep growing our presence around the world by doing just what we do in more established music markets: signing and developing local artists; providing local labels and entrepreneurs with global promotion, distribution, and a full suite of artist services; and acquiring local labels, catalogs and artist services businesses.
As you know, over the past several years, we have been investing in future growth, not just expanding geographically and leveraging new technologies, but building our e-commerce and D2C operations. In 2024, as we continue our industry-leading investments in A&R and artist development, we will further evolve our organizational structure to create efficiencies in other areas of the business, so we can remain nimble and responsive to opportunities as they arise, while also taking advantage of the benefits of our scale.
In the face of so much change and opportunity, standing still is never an option.
We must continue to fight for our artists and songwriters and stand up for the creative and commercial value of music.
Our vision of the future is filled with possibilities, and acting on our strategy will make those possibilities real — for our artists, our employees, our shareholders and the entire music ecosystem.
I promise 2024 will be an extremely exciting and transformative year for our company.
Lucian
Did You Get the Memo? Read Last Year’s Note From Lucian Grainge
Throughout history, music has embraced constructive change and innovation. And we will do so again as we confront the opportunities and risks of artificial intelligence.
Done right, AI should offer avenues for new growth and artistic accomplishment. When creators’ rights are respected, innovation thrives.
Already, music companies have unveiled compelling projects that use AI technologies in groundbreaking ways — with full consent and participation of the artists and rights holders involved. Working together with responsible AI companies, music companies are finding new ways to enhance production and marketing, gain new understandings from data and research, and improve wellness and health. They’ve used it to help identify new audiences for artists and pioneer new ways to celebrate iconic catalogs and performers. This is just the beginning of a new era of possibilities.
But many AI developers are resisting collaborative efforts by the creative sector to develop a responsible policy framework for AI, even though the elements of such a framework are straightforward and common-sense. In short, AI companies must honor:
Authorization: only use copyrighted music if it is authorized (for example, through a license)
Transparency: keep and disclose adequately detailed records of the content on which they train their systems
Authenticity: prevent deepfakes, voice clones, and similar violations of individuals’ rights in their own voice, image, name likeness and identity.
These foundational, consensus principles are detailed by the Human Artistry Campaign and supported by virtually the entire creative community. They set forth a baseline for responsible development and deployment of AI.
But as if on cue, some of the worst instincts of Big Technology have returned. Some AI developers claim it’s “fair use” to scrape up protected music so it can be copied and repackaged by their models. That’s just wrong.
Put bluntly, that’s digital theft.
In every legitimate market in the world, the use of others’ property requires the owner’s consent and agreed-upon compensation. Together, for example, music and technology have developed a burgeoning streaming market built on the common-sense principle that use of copyrighted creative works requires licensing and consent.
Indeed, the developers’ claim that they can use decades’ worth of iconic and extremely valuable recordings for AI without bothering to ask or pay the rightsholders is so far-fetched that former Stability AI developer Ed Newton-Rex quit his job in November rather than be party to an extreme effort to rip off artists and misappropriate their work, explaining via X:
“Companies worth billions of dollars are, without permission, training generative AI models on creators’ works, which are then being used to create new content that in many cases can compete with the original works. I don’t see how this can be acceptable[.]”
It’s not.
This is why transparency is essential. AI developers must keep accurate records of the copyrighted works used by their models and make them available to rights holders seeking to enforce their rights. We need rules requiring that developers maintain adequately detailed records and share this information — or bear the consequences if they fail to produce it. We were pleased to see that the European Union enshrined this as a core principle in its landmark AI Act.
AI policy must also establish clear rules protecting every performer’s right to their own voice, image, name and likeness — the most fundamental cornerstones of individual identity. AI fakes that mine an artist’s body of work to create artificial replicas and voice clones, fashion phony endorsements, or depict individuals in ways they haven’t consented to represent the worst kind of personal invasion. Congress needs to put an end to wrongful appropriation of the most central components of individual human identity.
These are the challenges of 2024.
We either work to continue a strong and sustainable foundation for music in the era of generative AI that moves both art and technology forward together, or generative AI devolves into just another “move fast and break things” novelty that fails to deliver anything of value while eroding our culture.
These are the choices policymakers will face this coming year. Let’s work to help them forge the right path.
Mitch Glazier is chairman/CEO of the Recording Industry Association of America.
More than half a century after his first comeback, Elvis Presley is combing back, again. U.K. company Layered Reality announced this week that it is prepping an holographic AI concert special entitled “Elvis Evolution” that is slated to debut in London in November.
In a statement announcing the special event, immersive experience specialists (The Gunpowder Plot) Layered Reality promise that the mind-blowing “concert finale” featuring the King of Rock will feature a “jaw-dropping” performance and a “personal invite to the After Party.”
“The show peaks with a concert experience that will recreate the seismic impact of seeing Elvis live for a whole new generation of fans, blurring the lines between reality and fantasy,” reads a statement announcing the show. “A life sized digital Elvis will share his most iconic songs and moves for the very first time on a UK stage.”
The show promises to use Layered Reality’s patented blend of “technology, augmented reality, theatre, projection and multi-sensory effects” to reproduce the late rock icon for his first-ever shows outside of North America nearly half a century after Presley’s 1977 death.
“Elvis fans can look forward to a memory-making experience like no other. Through AI and groundbreaking tech you’ll be able to witness iconic Elvis performances as if you were really there, and celebrate defining moments in Elvis Presley’s extraordinary life and career,” the statement continues. “After the show, the central London venue will also host an After Party at its ELVIS-themed restaurant and bar with live music, DJs and performances.”
At press time the name of the London venue hosting the event had not yet been revealed. In a video tease, Layered Reality founder and CEO Andrew McGuinness promised that the show will go on a global tour after its London debut — reportedly hitting Las Vegas, Berlin and Tokyo as well — following a deal reached with the owner of the Presley estate, Authentic Brands Group.
“You’re going to go on a journey and really understand what Elvis went through during his life,” McGuinness said. “The end of this experience is a real crescendo, where you’ll see a life-sized Elvis in AI perform some of his biggest hits.” The Elvis AI show will follow on the heels of the hit London show “ABBA Voyage,” which digitally recreated the beloved Swedish pop band via digital avatars.
One of the best-selling artists in music history with over 500 million records sold worldwide, Elvis, who died at 42, has been everywhere over the past two years thanks to Baz Luhrmann’s Oscar-nominated biopic Elvis and Sofia Coppola’s Golden Globe-nominated Priscilla. The rock legend was also back in the Billboard Hot 100 top 20 over the Christmas holiday when his 1957 classic “Blue Christmas” hit No. 18 on the chart dated Jan. 6, 2024, marking the first time one of his songs has has charted since “Way Down” peaked at No. 18 in Oct. 1977.
Watch the preview clip below.
More people around the globe are listening to licensed music services than ever before — and are doing so via a growing number of different platforms — but piracy continues to divert cash from creators’ pockets, while a majority of music fans think that artificial intelligence (AI) should not be used to clone music artists’ voices without authorization, according to a new consumer survey from international recorded-music trade organization IFPI.
IFPI’s “Engaging with Music 2023″ study reveals that music consumers are spending on average 20.7 hours listening to music weekly, up from 20.1 hours in 2022 – or the equivalent of an extra 13 three-minute songs per week.
The London-based organization found that 73% of the 43,000-plus music fans it surveyed listen to their favorite artists through subscription or ad-supported audio streaming service such as Spotify, Apple Music or Amazon Music, down slightly from last year’s figure of 74% (IFPI says that the small decrease is down to a change in accounting methodology, rather than a drop in real terms). The proportion of paying subscribers rises from 46% in 2022 to 48% this year.
Audio subscription services are the most used format, accounting for around a third (32%) of music fans’ weekly listening time, closely followed by video streaming via platforms like YouTube or TikTok, which make up 31% of consumption.
On average, people now use more than seven different methods to engage with music, reports IFPI, with other popular formats including radio listening (17%), purchased music (9%) and attending live concerts (4%).
In line with previous years, the adoption of subscription streaming services is highest among younger listeners, with 60% of 16–24-year-olds and 62% of 25-34-year-olds surveyed saying they use subscription music platforms. Usage drops to 28% in the 55-64-year-old age bracket, although consumption is up year-on-year across all age demographics.
Among 16-24-year-olds, short form video platforms such as TikTok are listed as the most popular way that they engage with music on a daily basis, followed by audio subscription streaming services and then video streaming formats like YouTube.
The top five countries where people spent the most time listening to music through a subscription streaming service were Sweden (61% of people surveyed), Mexico (57%), Germany (55%), the U.S. (53%) and New Zealand (52%), with the United Kingdom dropping out of the top five.
Overall, IFPI reports a 7% year-on-year rise in time spent listening to music on paid streaming services – a slower rate of growth than the 10% rise in listening time in 2022.
Artificial Intelligence and the Persistent Piracy Problem
For the first time, IFPI’s research team asked music fans for their views on how they think artificial intelligence will impact on the industry. Nearly eight in ten (79%) said that human creativity is essential to the creation of music and 74% of respondents said that AI should not be used to clone or impersonate music artists without authorization.
The vast majority of people surveyed supported the need for AI systems and developers to be transparent and clearly identify any training data they have used to create new music works, which is one of the key provisions of the recently agreed EU AI Act.
The IFPI report was compiled by surveying internet users aged 16-64 between August and October across 26 countries, including the United States, Japan, United Kingdom, Germany, France, China, Australia, Brazil, Canada, Mexico, Indonesia and Saudi Arabia.
Collectively, these markets accounted for more than 91% of global recorded music revenues in 2022, according to this year’s IFPI Global Music Report. IFPI says the report is the largest music survey of its kind ever conducted.
In terms of genres, pop remains the most popular type of music globally, followed by rock, hip-hop/rap, dance/electronic and Latin. On average, music fans said that they listened to more than eight different genres of music with local-language genres such as K-pop in South Korea or Amapiano in South Africa increasingly popular in domestic markets.
Writing in the study’s foreword, IFPI chief executive Frances Moore says its findings demonstrate how the music industry has evolved to give “artists more opportunities than ever to find audiences,” who are in turn “discovering and engaging with more music in an increasing number of ways.”
Nevertheless, music piracy remains an ongoing issue that has “a severe and direct impact on royalties,” warns Moore. Of those surveyed, 29% of respondents said that use unlicensed or illegal methods to listen to or obtain music, down slightly from the previous year.
Stream-ripping sites remain the most popular way for consumers to access copyright-infringing music, IFPI found, with 41% of 16-24-year-olds confessing to using them. One in five people (20%) said they had used an unlicensed mobile app to illegally download music.
The listening study also contains separate reports looking at music consumption in China, India, Indonesia, Nigeria, the Philippines, Saudi Arabia, UAE and Vietnam.
In China, which last year overtook France as the fifth-biggest music market worldwide with revenues of $1.2 billion, 96% of people surveyed said they now used licensed music streaming services with the total number of hours spent listening to music each week increasing to just under 30 hours among respondents.
Despite the rapid growth in streaming in China, 75% of people surveyed said that they still used unlicensed or illegal ways to access music, demonstrating that piracy remains a serious issue in the world’s most populous country.
Responding to the report’s findings, Moore said that tackling all forms of copyright infringement on a global basis would continue to be a priority for IFPI to “ensure the most secure digital environment possible for music creators and fans alike.”
Legislators have provisionally agreed to sweeping new laws that will regulate the use of artificial intelligence (AI) in Europe, including controls around the use of copyrighted music.
The deal between policy makers from the European Union Parliament, Council and European Commission on the EU’s Artificial Intelligence Act was reached late on Friday night in Brussels local time following months of negotiations and amid fierce lobbying from the music and tech industries.
The draft legislation is the world’s first comprehensive set of laws regulating the use of AI and places a number of legal obligations on technology companies and AI developers, including those working in the creative sector and music business.
The precise technical details of those measures are still being finalized by EU policy makers, but earlier versions of the bill decreed that companies using generative or foundation AI models like OpenAI’s ChatGPT or Anthropic’s Claude 2 would be required to provide summaries of any copyrighted works, including music, that they use to train their systems.
The AI Act will also force developers to clearly identify content that is created by AI, as opposed to human works before they are placed in the market. In addition, tech companies will have to ensure that their systems are designed in such a way that prevents them from generating illegal content.
Large tech companies who break the rules – which govern all applications and uses of AI inside the 27 member block of EU countries — will face fines of up to €35 million or 7% of global annual turnover. Start-up businesses or smaller tech operations will receive proportionate financial punishments, said the European Commission.
Governance will be carried out by national authorities, while a new European AI Office will be created to supervise the enforcement of the new rules on general purpose AI models.
President of the European Commission Ursula von der Leyen called the agreement “a historic moment” that “will make a substantial contribution to the development of global rules and principles for human-centric AI.”
Responding to the announcement, Tobias Holzmüller, CEO of German collecting society GEMA, said the deal reached by the European government was a welcome “step in the right direction” but cautioned that its rules and provisions “need to be sharpened further on a technical level.”
“The outcome must be a clearly formulated transparency regime that obliges AI providers to submit detailed evidence on the contents they used to train their systems,” said Holzmüller.
Representatives of the technology industry, which had lobbied to weaken the AI Act’s transparency provisions, criticized the deal and warned that it was likely to put European AI developers at a competitive disadvantage.
Daniel Friedlaender, Senior Vice President of the Computer and Communications Industry Association (CCIA), which counts Alphabet, Apple, Amazon and Meta among its members, said in a statement that “crucial details” of the AI act are still missing “with potentially disastrous consequences for the European economy.”
“The final AI Act lacks the vision and ambition that European tech startups and businesses are displaying right now,” said CCIA Europe’s Policy Manager, Boniface de Champris. He warned that, if passed, the legislation might “end up chasing away the European champions that the EU so desperately wants to empower.”
Now that an political agreement has been reached on the AI Act, legislators will spend the coming weeks finalizing the exact technical details of the regulation and translating its terms for the 27 EU member countries.
The final text then needs to be approved by the European Council and Parliament, with a decisive vote not excepted to take place until early next year, possibly as late as March. If passed, the act will be applicable two years after its entry into force, except for some specific provisions: bans will apply after six months while the rules on generative AI models will begin after 12 months.
In a statement, international recorded music trade organization IFPI said the first-of-its-kind legislation provides “a constructive and encouraging framework” for regulation of the nascent technology.
“AI offers creators both opportunities and risks,” said an IFPI spokesperson, “and we believe there is a path to a mutually successful outcome for both the creative and technology communities.”
The American Society of Composers, Authors and Publishers (ASCAP) argued that AI companies need to license material from copyright owners to train their models and that “a new federal right of publicity… is necessary to address the unprecedented scale on which AI tools facilitate the improper use of a creator’s image, likeness, and voice” in a document filed to the Copyright Office on Wednesday (Dec. 6).
The Copyright Office announced that it was studying “the copyright issues raised by generative artificial intelligence” in August and solicited written comments from relevant players in the space. Initial written comments had to be submitted by October 30, while reply comments — which give organizations like ASCAP the chance to push back against assertions made by AI companies like Anthropic and Open AI — were due December 6.
Generative AI models require training: They ingest large amounts of data to identify patterns. “AI training is a computational process of deconstructing existing works for the purpose of modeling mathematically how [they] work,” Google wrote in its reply comments for the Copyright Office. “By taking existing works apart, the algorithm develops a capacity to infer how new ones should be put together” — hence the “generative” part of this.
ASCAP represents songwriters, composers, and music publishers, and its chief concern is that AI companies will be allowed to train models on its members’ works without coming to some sort of licensing arrangement ahead of time. “Numerous comments from AI industry members raise doubts about the technical or economic feasibility of licensing as a model for the authorized use of protected content,” ASCAP writes. “But armchair speculations about the efficiency of licensing do not justify a rampant disregard for creators’ rights.”
ASCAP adds that “numerous large-scale AI tools have already been developed exclusively on the basis of fully licensed or otherwise legally obtained materials” — pointing to Boomy, Stable Audio, Generative AI by Getty Images, and Adobe Firefly — “demonstrating that the development of generative AI technologies need not come at the expense of creators’ rights.”
ASCAP also calls for the implementation of a new federal right-of-publicity law, worried that voice-cloning technology, for example, can threaten artists’ livelihood. “Generative AI technology introduces unprecedented possibilities for the unauthorized use of a creator’s image, likeness, and voice,” ASCAP argues. “The existing patchwork of state laws were not written with this technology in view, and do not adequately protect creators.”
“Without allowing the artists and creators to control their voice and likeness,” ASCAP continues, “this technology will create both consumer confusion and serious financial harm to the original music creators.”
LONDON — Representatives of the creative industries are urging legislators not to water down forthcoming regulations governing the use of artificial intelligence, including laws around the use of copyrighted music, amid fierce lobbying from big tech companies.
On Wednesday (Dec. 6), policy makers from the European Union Parliament, Council and European Commission will meet in Brussels to negotiate the final text of the EU’s Artificial Intelligence Act – the world’s first comprehensive set of laws regulating the use of AI.
The current version of the AI Act, which was provisionally approved by Members of European Parliament (MEPs) in a vote in June, contains several measures that will help determine what tech companies can and cannot do with copyright protected music works. Among them is the legal requirement that companies using generative AI models like OpenAI’s ChatGPT or Anthropic’s Claude 2 (classified by the EU as “general purpose AI systems”) provide summaries of any copyrighted works, including music, that they use to train their systems.
The draft legislation will also force developers to clearly identify content that is created by AI, as opposed to human works. In addition, tech companies will have to ensure that their systems are designed in such a way that prevents them from generating illegal content.
While these transparency provisions have been openly welcomed by music executives, behind the scenes technology companies have been actively lobbying policymakers to try and weaken the regulations, arguing that such obligations could put European AI developers at a competitive advantage.
“We believe this additional legal complexity is out of place in the AI Act, which is primarily focused on health, safety, and fundamental rights,” said a coalition of tech organizations and trade groups, including the Computer and Communications Industry Association, which counts Alphabet, Apple, Amazon and Meta among its members, in a joint statement dated Nov. 27.
In the statement, the tech representatives said they were concerned “about the direction of the current proposals to regulate” generative AI systems and said the EU’s proposals “do not take into account the complexity of the AI value chain.”
European lawmakers are also in disagreement over how to govern the nascent technology with EU member states France, Germany and Italy understood to be in favor of light touch regulation for developers of generative AI, according to sources close to the negotiations.
In response, music executives are making a final pitch to legislators to ensure that AI companies respect copyright laws and strengthen existing protections against the unlawful use of music in training AI systems.
Helen Smith, the executive chair of IMPALA. /
Lea Fery
Helen Smith, executive chair of European independent labels group IMPALA, tells Billboard that the inclusion of “meaningful transparency and record keeping obligations” in the final legislation is a “must for creators and rightsholders” if they are to be able to effectively engage in licensing negotiations.
In a letter sent to EU ambassadors last week, Björn Ulvaeus, founder member of ABBA and president of CISAC, the international trade organization for copyright collecting societies, warned policymakers that “without the right provisions requiring transparency, the rights of the creator to authorise and get paid for use of their works will be undermined and impossible to implement.”
The European Composer and Songwriter Alliance (ECSA), International Federation of Musicians (FIM) and International Artist Organisation (IAO) are also calling for guarantees that the rights of their members are respected.
If legislators fail to reach a compromise agreement at Wednesday’s fifth and planned-to-be-final negotiating session on the AI Act, there are a number of possible outcomes, including further ‘trologue’ talks the following week. If a deal doesn’t happen this month, however, there is the very real risk that the AI Act won’t be passed before the European parliamentary elections take place in June.
If that happens, a new parliament could theoretically scrap the bill altogether, although executives closely monitoring events in Brussels, the de facto capital of the European Union, say that is unlikely to happen and that there is strong political will from all sides to find a resolution before the end of the year when the current Spain-led presidency of the EU Council ends.
Because the AI Act is a regulation and not a directive — such as the equally divisive and just-as-fiercely-lobbied 2019 EU Copyright Directive — it would pass directly into law in all 27 EU member states, although only once it has been fully approved by the different branches of the European government via a final vote and officially entered into force (the exact timeframe of which could be determined in negotiations, but could take up to three years).
In that instance, the act’s regulations will apply to any company that operates in the European Union, regardless of where they are based. Just as significant, if passed, the act will provide a world-first legislative model to other governments and international jurisdictions looking to draft their own laws on the use of artificial intelligence.
“It is important to get this right,” says IMPALA’s Smith, “and seize the opportunity to set a proper framework around these [generative AI] models.”
In April, Grimes encouraged artists to make music using her voice — as replicated by artificial intelligence-powered technology. Even as she embraced a high-tech future, however, she noted that there were some old-fashioned legal limitations. “I don’t own the rights to the vocals from my old albums,” she wrote on X. “If you make remixes, they may get taken down.”
Artificial intelligence has dominated the hype cycle in 2023. But most signed artists who are enthusiastic about testing out this technology will have to move cautiously, wary of the fact that preexisting contracts may assert some level of control over how they can use their voice. “In general, in a major label deal, they’re the exclusive label for name, likeness and voice under the term,” says one veteran manager who spoke on the condition of anonymity. “Labels might be mad if artists went around them and did a deal themselves. They might go, ‘Hey, wait a minute, we have the rights to this.’”
On the flip side, labels probably can’t (or won’t) move unilaterally either. “In our agreements, in a handful of territories, we’ve been getting exclusive name, image, likeness and voice rights in connection with recordings for years,” says one major label source. That said, “as a practical matter, we wouldn’t license an artist’s voice for a voice model or for any project without the artists being on board with it. It would be bad business for us.”
For the moment, both sides are inching forward, trying to figure out how to “interpret new technology with arcane laws,” as Arron Saxe, who manages several artists’ estates, puts it. “It’s an odd time because the government hasn’t stepped in and put down real guidelines around AI,” adds Dan Smith, general manager of the dance label Armada Music.
That means guidelines must be drawn via pre-existing contracts, most of which were not written with AI in mind, and often vary from one artist to the next. Take a recent artist deal sent out by one major label and reviewed by Billboard: Under the terms, the label has the “exclusive right to record Artist Performances” with “performance” broadly defined to include “singing, speaking… or such performance itself, as the context requires.” The word “recording” is similarly roomy: “any recording of sound…by any method and on any substance or material, whether now or hereafter known.”
Someone in this deal probably couldn’t easily go rogue and build a voice-cloning model on newly recorded material without permission. Even to participate in YouTube’s recently announced AI voice generation experiment, some artists needed to get permission in form of a “label waiver,” according to Audrey Benoualid, a partner at Myman Greenspan Fox Rosenberg Mobasser Younger & Light. (In an interview about YouTube’s new feature, Demis Hassabis, CEO of Google Deepmind, said only that it has “been complicated” to negotiate deals with various music rights holders.) Even after an artist’s deal ends, if their recordings remain with a label, they would have to be careful to only train voice-cloning tech with material that isn’t owned exclusively by their former record company.
It’s not just artists that are interested in AI opportunities, though. Record labels stand to gain from developing licensing deals with AI companies for their entire catalogs, which could in turn bring greater opportunities for artists who want to participate. At the Made on YouTube event in September, Warner Music Group CEO Robert Kyncl said it’s the label’s “job” to make sure that artists who lean into AI “benefit.” At the same time, he added, “It’s also our job together to make sure that artists who don’t want to lean in are protected.”
In terms of protections, major label deals typically come with a list of approval rights: Artists will ask that they get the chance to sign off on any sample of their recordings or the use of one of their tracks in a movie trailer. “We believe that any AI function is just another use of the talents’ intellectual property that would take some approval by the creator,” explains Leron Rogers, a partner at Fox Rothschild.
In many states, artists also have protection under the “right of publicity,” which says that people have control over the way others can exploit their individual identities. “Under that umbrella is where things like the right to your voice, your face, your likeness are protected and can’t be mimicked because it’s unfair competition,” says Lulu Pantin, founder of Loop Legal. “But because those laws are not federal, they’re inconsistent, and every state’s laws are slightly different” — not all states specifically call out voices, for example — “[so] there’s concern that that’s not going to provide robust protection given how ubiquitous AI has become already.” (A lack of federal law also limits the government’s ability to push for enforcement abroad.)
To that end, a bipartisan group of senators recently introduced a draft proposal of the NO FAKES act (“Nurture Originals, Foster Art, and Keep Entertainment Safe”), which would enshrine a federal right for artists, actors and others to take legal action against anyone who creates unauthorized “digital replicas” of their image, voice, or likeness. “Artists would now gain leverage they didn’t have before,” says Mike Pelczynski, who serves on the advisory board of the company voice-swap.ai.
While the entertainment industry tracks NO FAKES’ progress, Smith from Armada believes “we will probably start to see more artist agreements that are addressing the use of your voice.” Sure enough, Benoualid says that in new label deals for her clients, she now asks for approval over any use of an artist’s name, likeness, or voice in connection with AI technology. “Express written approval should be required prior to a company reproducing vocals, recordings, or compositions for the purpose of training AI platforms,” agrees Matthew Gorman, a lawyer at Cox & Palmer.
Pantin has been keeping an eye on the way other creative fields are handling this fast-evolving tech to see if there are lessons that can be imported into music. “One thing that I’ve been trying to do and I’ve had success in some instances with is asking the rights holders — the publishers, the labels — for consent rights from the individual artists or songwriter before their work is used to train generative AI,” she says. “On the book publishing side, the Authors Guild has put forth language they recommended are included in all publishing agreements, and so I’m drawing from that and extending that to songwriting.”
All these discussions are new, and the long-term impact of AI-driven technology on the creative fields remains unclear. Daouda Leonard, who manages Grimes, is adamant that in the music industry’s near future, “the licensing of voice is going to become a valuable asset.” Other are less sure — “nobody really knows how important this will be,” the major label source says.
Perhaps Grimes put it best on X: “We expect a certain amount of chaos.”
Dennis Kooker, president of global digital business at Sony Music Entertainment, represented the music business at Sen. Chuck Schumer’s (D-NY) seventh artificial intelligence insight forum in Washington, D.C. on Wednesday (Nov. 29). In his statement, Kooker implored the government to act on new legislation to protect copyright holders to ensure the development of “responsible and ethical generative AI.”
The executive revealed that Sony has already sent “close to 10,000 takedowns to a variety of platforms hosting unauthorized deepfakes that SME artists asked us to take down.” He says these platforms, including streamers and social media sites, are “quick to point to the loopholes in the law as an excuse to drag their feet or to not take the deepfakes down when requested.”
Presently, there is no federal law that explicitly requires platforms to takedown songs that impersonate an artists’ voice. Platforms are only obligated to do this when a copyright (a sound recording or a musical work) is infringed, as stipulated by the Digital Millennium Copyright Act (DMCA). Interest in using AI to clone the voices of famous artists has grown rapidly since a song with AI impersonations of Drake and The Weekend went viral earlier this year. The track, called “Heart on My Sleeve” has become one of the most popular use-cases of music-related AI.
A celebrity’s voice and likeness can be protected by “right of publicity” laws that safeguard it from unauthorized exploitation, but this right is limited. Its protections vary state-to-state and are even more limited post-mortem. In May, Billboard reported that the major labels — Sony, Universal Music Group and Warner Music Group — had been in talks with Spotify, Apple Music and Amazon Music to create a voluntary system for takedowns of right of publicity violations, much like the one laid out by the DMCA, according to sources at all three majors. It is unclear from Kooker’s remarks if the platforms that are dragging their feet on voice clone removals include the three streaming services that previously took part in these discussions.
In his statement, Kooker asked the Senate forum to create a federal right of publicity to create a stronger and more uniform protection for artists. “Creators and consumers need a clear unified right that sets a floor across all fifty states,” he said. This echoes what UMG general counsel/ executive vp of business and legal affairs Jeffery Harleston asked the Senate during a July AI hearing.
Kooker expressed his “sincere gratitude” to Sens. Chris Coons, Marsha Blackburn, Amy Klobuchar and Thom Tillis for releasing a draft bill called the No FAKES (“Nurture Originals, Foster Art, and Keep Entertainment Safe”) Act in October, which would create a federal property right for one’s voice or likeness and protect against unauthorized AI impersonations. At its announcement, the No FAKES Act drew resounding praise from music business organizations, including the RIAA and the American Association of Independent Music.
Kooker also stated that in this early stage many available generative AI products today are “not expanding the business model or enhancing human creativity.” He pointed to a “deluge of 100,000 new recordings delivered to [digital service providers] every day” and said that some of these songs are “generated using generative AI content creation tools.” He added, “These works flood the current music ecosystem and compete directly with human artists…. They reduce and diminish the earnings of human artists.”
“We have every reason to believe that various elements of AI will become routine in the creative process… [as well as] other aspects of our business” like marketing and royalty accounting,” Kooker continued. He said Sony Music has already started “active conversations” with “roughly 200” different AI companies about potential partnerships with Sony Music.
Still, he stressed five key issues remain that need to be addressed to “assure a thriving marketplace for AI and music.” Read his five points, as written in his prepared statement, below:
Assure Consent, Compensation, and Credit. New products and businesses built with music must be developed with the consent of the owner and appropriate compensation and credit. It is essential to understand why the training of AI models is being done, what products will be developed as a result, and what the business model is that will monetize the use of the artist’s work. Congress and the agencies should assure that creators’ rights are recognized and respected.
Confirm That Copying Music to Train AI Models is Not Fair Use. Even worse are those that argue that copyrighted content should automatically be considered fair use so that protected works are never compensated for usage and creators have no say in the products or business models that are developed around them and their work. Congress should assure and agencies should presume that reproducing music to train AI models, in itself, is not a fair use.
Prevent the Cloning of Artists’ Voices and Likenesses Without Express Permission. We cannot allow an artist’s voice or likeness to be cloned for use without the express permission of the artist. This is a very personal decision for the artist. Congress should pass into law effective federal protections for name, image, and likeness.
Incentivize Accurate Record-Keeping. Correct attribution will be a critical element to artists being paid fairly and correctly for new works that are created. In addition, rights can only be enforced around the training of AI when there are accurate records about what is being copied. Otherwise, the inability to enforce rights in the AI marketplace equates to a lack of rights at all, producing a dangerous imbalance that prevents a thriving ecosystem. This requires strong and accurate record keeping by the generative AI platforms, a requirement that urgently needs legislative support to ensure incentives are in place so that it happens consistently and correctly.
Assure Transparency for Consumers and Artists. Transparency is necessary to clearly distinguish human-created works from AI-created works. The public should know, when they are listening to music, whether that music was created by a human being or a machine.