The $8 million AI music scam

Streaming platforms have little financial incentive to police AI-generated content and bot-fraud despite one high-profile $8M prosecution.

• $8M scheme unraveled: Mike Smith was sentenced to 18 months in prison and ordered to repay $8,091,843.64 after using AI tool Boomy to generate hundreds of thousands of fake songs under fictitious artist names, then using bot networks to stream them on loop.
• Years of failed legitimacy first: Smith funded urgent care clinics in North Carolina to bankroll a real music career, including a BET reality show and a group with Johnny Depp's nephew, before pivoting to streaming fraud with former partner Jonathan Hay.

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