Core Insights - Spotify has removed 75 million tracks from its catalog to combat spam and fraudulent submissions, joining Deezer in addressing the issue of low-quality content flooding streaming services [2][3] - The volume of music submitted to streaming services is estimated at 150,000 tracks daily, with 28% being AI-generated, highlighting the scale of the problem [3] - Major record labels are experiencing a decline in market share due to the influx of lower-quality content, prompting a shift in incentives for both labels and streaming services to address streaming fraud [5] Industry Trends - The music streaming landscape has seen an explosion in submissions, significantly larger than during the CD era, leading to concerns about the quality and authenticity of content [4] - Streaming services are motivated to combat fraud as it distorts algorithms, reduces royalties for legitimate artists, and poses potential legal risks [6] - The rise of generative AI tools has accelerated the submission of tracks, complicating the landscape for music distribution and increasing the potential for fraudulent activities [7] Regulatory and Collaborative Efforts - The Music Fights Fraud Alliance was formed to unite industry stakeholders in the fight against fraud, including digital distributors and streaming services [8] - Digital distributors face competitive pressures to accept a high volume of tracks while maintaining a reputation for promoting genuine independent artists [9] - Future announcements from leading digital distributors regarding AI and fraud are anticipated, which will be crucial for the market's development [10] Company Policies and Future Directions - Spotify is not banning AI-generated music but is working on standards to identify AI-generated components in tracks, which may be used for user information [11] - Unlike Deezer, Spotify has not implemented measures to deprioritize pure AI-generated tracks in its discovery algorithms [12] - Other major digital music services are likely facing similar challenges and may follow suit with announcements addressing these issues [13]