Additional Coverage:
- Man who out-streamed Taylor Swift using AI songs and bots jailed for millions in royalty fraud (themirror.com)
A North Carolina man has been sentenced to 18 months in prison for orchestrating an elaborate scheme that used thousands of AI-generated songs and automated accounts to fraudulently rake in over $8 million in streaming royalties. Michael Smith’s operation, which ran from 2017 to 2024, at one point outpaced Taylor Swift’s legitimate streams by nearly nine times on YouTube Music’s family plan.
Smith’s method involved creating thousands of fake streaming accounts using bogus email addresses and stolen debit card information. These bots simultaneously played his vast catalog of AI-created songs, carefully spreading streams across thousands of tracks to avoid detection. At peak activity, as many as 10,000 accounts were streaming his music continuously.
The artificial streams manipulated royalty payments by diverting funds from genuine artists whose music was actually listened to by users. The U.S.
Justice Department charged Smith with conspiracy to commit wire fraud, leading to his guilty plea in March 2026. Along with his prison sentence, he was ordered to forfeit $8.09 million and serve two years of supervised release.
This case highlights the growing challenges the music industry faces with AI-generated content and automated streaming fraud. According to the International Federation of the Phonographic Industry (IFPI), such fraudulent activities are becoming increasingly widespread and sophisticated. In fact, streaming platform Deezer reported receiving over 60,000 fully AI-generated tracks daily in early 2026, with an estimated 85% of AI-related streams flagged as fraudulent in 2025 alone.
IFPI is calling for stronger measures, including enhanced identity and content verification, improved detection systems, and better information sharing among streaming services and distributors to combat this evolving threat.
Meanwhile, Taylor Swift continues to enjoy massive legitimate success, with her streaming royalties on platforms like Spotify surpassing $500 million over her career. Smith’s conviction underscores the ongoing need to protect artists’ earnings and preserve the integrity of music streaming in the age of AI.