this post was submitted on 08 Sep 2024
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An alleged scammer has been arrested under suspicion that he used AI to create a wild number of fake bands — and fake music to go with them — and faking untold streams with more bots to earn millions in ill-gotten revenue.

In a press release, the Department of Justice announced that investigators have arrested 52-year-old North Carolina man Michael Smith, who has been charged with a purportedly seven-year scheme that involved using his real-life music skills to make more than $10 million in royalties.

Indicted on three counts involving money laundering and wire fraud, the Charlotte-area man faces a maximum of 20 years per charge.

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[–] [email protected] 50 points 1 week ago* (last edited 1 week ago) (8 children)

Fyi Spotify has been doing stuff like this for years, hire dirt cheap artists, make up a fake artist/band name, upload generic jingles and implant them on every single category playlist they can. Prime example are playlists for things that don't have too much complexity like lo-fi, calm piano, stuff like that. Disgusting. Edit: u can spot them out by digging thru some of the "artists", and when u find one with fishy profile try looking them up on other platforms. Millions of plays on Spotify but nearly nonexistent outside of it? That's a plant😂

[–] [email protected] 6 points 1 week ago (3 children)

How would that benefit Spotify if they are the ones paying the royalties to themselves? Wouldn't that be net zero?

[–] [email protected] 15 points 1 week ago* (last edited 1 week ago)

Take it this way, if 1 person pays 10$ a month for Spotify and gets about 50 hours of music out of it, it's more beneficial for Spotify if a significant portion of that time is spent on music they pump into the playlists themselves, which costed them pennies to make, instead of having that user listen to real artists, that will ask for actual pay in exchange for their streams. They're not paying a little bit to make alot, they're paying a little bit to avoid paying even more. It's basically average desk job employee outsourcing their work to indians who get like a dollar a day and are happy with it cus it's their only option

[–] [email protected] 6 points 1 week ago

They don't pay equally to everyone. They benefit large artists more than smaller ones. If you only listen to your totally unknown friend's music on Spotify, most of your money will still go to popular artists you don't listen to, and your friend will get nothing because they're below the threshold of getting a payment. It's basically theft. Now if some of those popular artists are Spotify themselves behind the scenes, guess where your money is being funneled.

[–] [email protected] 2 points 1 week ago

Probably they find net zero (minus cost of hiring musicians) preferred over paying out a moderate income to actual artists. Capitalism at its finest.

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