Apple Music flags 2 billion fraudulent streams amid AI audio surge

According to the outlet’s summary of Schusser’s remarks, the platform last year “identified and demonetised as many as 2 billion fraudulent streams.” While not all of these plays can be attributed to AI-generated music, experts note that machine-produced tracks are often particularly susceptible to manipulation.

Schusser explained that Apple Music has been taking a proactive approach to streaming fraud. Since 2022, the company has applied a sliding penalty system, deducting between 5% and 25% of would-be royalties from accounts linked to fraudulent activity. As of yesterday, Apple has increased these penalties, now ranging from 10% to 50%, citing the ongoing surge of AI-generated content as a key factor.

“Fraud in streaming is a growing concern,” Schusser said. “These adjustments reflect our efforts to protect artists, rights holders and the integrity of the platform.”

Industry observers have raised questions about the efficacy of fines alone, noting that AI “artist” profiles can be created in large numbers and discarded if penalised, potentially limiting the deterrent effect. According to DMN Pro, operators of fraudulent AI uploads often distribute streams across multiple tracks and featured-artist arrangements to avoid detection and maximise plays.

Deezer, another on-demand streaming service, recently reported that it had flagged and demonetised roughly 85% of AI-related streams on its platform, illustrating the varying approaches to tackling fraud across the industry.

Schusser also commented on broader industry challenges, including the difficulties in defining AI music and the limitations of ad-supported streaming models. He noted that competitors are “really struggling” to address similar fraud concerns, signalling a wider systemic issue in digital music distribution.

Attempts to obtain further details from Apple Music regarding enforcement thresholds and potential account bans were not immediately successful.

The disclosure of two billion fraudulent streams underscores the scale of AI-related challenges for streaming services, raising questions about how platforms can balance innovation with accountability in a rapidly evolving musical landscape.

Apple Music’s move follows Deezer’s January announcement of a surge in AI-generated music uploads, as the platform reinforced efforts to protect artists’ rights and ensure transparency in streaming.