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North Carolina Man Gets 18 Months in First US Federal AI Music Streaming Fraud Sentence

Summary

The DOJ sentenced North Carolina resident Michael Smith to 18 months in prison on October 6 in the first US federal AI-assisted music streaming fraud case. From 2017 to 2024 Smith ran thousands of bot accounts that streamed hundreds of thousands of AI-generated songs on Spotify, Apple Music, Amazon Music and YouTube Music, collecting over $8M in royalties. Smith was also ordered to pay $8,091,843.64 in restitution and serve two years of supervised release.