Aug 2nd | Deepfakes, Grey-Areas & Spotify's Screwy Streaming Service

Hi Everybody,

Welcome back to your favorite music newsletter! If you’re new here, Indie Insider is a weekly newsletter podcast and interview series that aims to provide information on the most important events in the music industry as well as thoughtful analysis from veteran industry operators. Indie Insider is sponsored by my company, Habitat Financial , the go-to solution for your independent music company. Habitat helps record labels, music publishers, managers and artists tackle complex royalty streams, deal terms, and mundane tasks like expense management, payments, and invoicing. Automate your music company’s financial operations so that you can spend more time where it matters, on the music.

This week’s news-slate was super interesting. We’re stepping away from some of the routine quarterly earnings updates in order to dive into some oddball happenings from throughout the industry. Buckle up because stuff is about to get weird.

SENATE INTRODUCES 'LANDMARK’ NO FAKES ACT TO HELP COMBAT AI FRAUD

Big news on the legal front: the Senate officially introduced the NO FAKES Act, which aims to set legal boundaries around the use of AI deepfakes. This landmark legislation is set to establish a federal property right over an individual's voice and likeness, a move supported by major players like Warner Music Group , Universal Music Group , and Sony Music Entertainment .

To break that down further, the NO FAKES Act would establish what would essentially be a class of copyright that covers a person’s image and voice. That copyright would then be granted to said person and could be bought and sold just like any other class of copyright.

Why This Matters: In a world where AI can create convincing imitations, this act ensures that your personal brand and likeness stays yours. Deepfakes have already caused significant issues for high-profile artists like Drake, Taylor Swift, etc. and this legislation aims to curb such misuse and provide individuals with options for swift recourse. It also has the potential to curb low-quality music creation by placing guard rails around what types of vocals can be added to AI generated music.

What You Can Do: Stay informed about the legislation's progress and advocate for your rights. As indie artists, your support and voice can help push this bill through.

SPOTIFY TO INTRODUCE FULL-LENGTH VIDEO STREAMING AS DEAL WITH CINEVERSE GOES THROUGH

Ok, so I have no clue what is going on with this one, but in my opinion, it is wild. Spotify is apparently entering the full-length video streaming market, thanks to a new deal with Cineverse . This move would be a part of Spotify's broader strategy to diversify its offerings, which already includes video podcasts and music videos.

In my opinion, this is just a kooky move. The video streaming market is already quite saturated and the battle for streaming dominance has mostly been won by Netflix (which I suppose has an equally wild gaming line). I can’t fathom what Spotify thinks its adding by further obscuring its main product line (music & user created playlists) behind superfluous features like this. This week New Yorker published a piece deriding the TikTok-ification of Spotify. Those of us who just want to listen to music don’t need looping videos, song previews, audiobooks, tv shows and more.

It's hard for me to believe this new product line will last very long. Spotify may be newly profitable, but I doubt its investors will be willing to entertain such off-brand ideas for too long.

IFPI RAMPS UP PRESSURE CAMPAIGN AGAINST GREY-AREA STREAMING APP, MUSI

Here is another interesting one, The International Federation of the Phonographic Industry (IFPI) is cracking down on Musi, a popular playlist app that streams music from YouTube. Despite its popularity, the app has been criticized for its questionable legality and lack of proper licensing.

Musi is basically a fancy YouTube wrapper. When you listen to music on Musi, you’re actually accessing music hosted by YouTube and simply accessing it in a curated way via the Musi app. If you’re not 16, you’d be forgiven for not knowing what Musi is, however, the app seems to have established a loyal and growing fanbase. It consistently ranks amongst one of the most downloaded apps in the app store and outperforms Deezer , Audiomack and Pandora .

Why This Matters: As an indie artist, you should be aware of where your music is being used and ensure it’s done legally. Apps like Musi can undermine legitimate streaming services that pay artists royalties. Understanding and supporting fair streaming practices helps protect your earnings and those of your peers. While Musi currently resides in a sort of legal gray-area, the spirit of the app is in bad faith. If you believe artists should be fairly compensated for their work, then you should actively advocate for the delisting of Musi (and similar apps) from popular app marketplaces.

Connect with Us:

That’s all for this edition of Indie Insider! Stay tuned for more updates, and don’t hesitate to reach out to my email ([email protected]) if you have any questions or need advice. We’re here to support you on your music journey and will be back next week to help you navigate more of music’s top stories.

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