# US Copyright Office Launches Music Streaming Fraud Inquiry

> US Copyright Office opens public inquiry into AI-driven music streaming fraud after Republican Rep. Scott Fitzgerald's letter.
- Title: US Copyright Office Launches Music Streaming Fraud Inquiry
- Summary: US Copyright Office opens public inquiry into AI-driven music streaming fraud after Republican Rep. Scott Fitzgerald's letter. US Copyright Office launched a…
- Keywords: us copyright office, scott fitzgerald, ai generated music, streaming fraud, deezers, streaming integrity initiative, music fights fraud alliance, us district court, royalty pool, copyright protection act, music, business
- Source: Music Business Worldwide — https://musicbusinessworldwide.com/music-streaming-fraud-inquiry-launched-by-us-copyright-office
- Published: 2026-10-07T15:49:26+00:00
- Read time: 2 min
- Topics: us copyright office, scott fitzgerald, ai generated music, streaming fraud, deezers, streaming integrity initiative, music fights fraud alliance, us district court, royalty pool, copyright protection act, music, business
## US Copyright Office launches inquiry
The US Copyright Office published a public inquiry into music streaming fraud on October 7, 2026, seeking information on how streaming fraud is carried out, its economic impact, and its relationship to AI-generated music.
## Rep. Scott Fitzgerald's letter
Republican Rep. Scott Fitzgerald, Wisconsin’s 5th District representative, requested the inquiry in a May 21 letter asking the USCO to examine AI's contributory effects on music streaming fraud and its impact on the music industry.
## AI-generated music fraud concerns
Fitzgerald stated that AI-generated outputs competing against human-made works divert money from a finite royalty pool, representing a clear theft when deployed fraudulently by bad actors using bots or manipulation.
## Deezer's fraud data
Deezer reported up to 85% of streams from fully AI-generated tracks were fraudulent in 2025, with nearly 44% of daily uploads being AI-generated by April 2025.
## Michael Smith's sentencing
Michael Smith, of Cornelius, North Carolina, was sentenced to 18 months in prison for a scheme that used bot accounts to stream hundreds of thousands of AI-generated songs in March 2024.
## USCO's royalty pool harm
The USCO identified the primary harm of streaming fraud as the dilution of the royalty revenue pool, citing an MBW op-ed by IFPI CEO Victoria Oakley and RIAA CEO Mitch Glazier.
## Streaming Integrity Initiative
IFPI launched the Streaming Integrity Initiative on September 14, 2026, with 24 companies and trade bodies signing up, including the three major music companies, to combat streaming fraud.
## USCO's next steps
The USCO will seek views on industry policies, anti-fraud vendors like Beatdapp, and potential legislation including the American Copyright Protection Act of 2026 to address streaming fraud.
## Key takeaway

US Copyright Office launched a public inquiry into music streaming fraud, citing AI-generated tracks as a catalyst for fraud that diverts royalties from rights holders.