GoKawiilMusicians are accustomed to getting paid each time their creative work is used. Across vinyl/CD sales, streams, radio, cover versions, and those numerous niches like karaoke, there are agreements in place about what “use” means. Underlying this is a simple economic principle: The more something is used, the more money it makes.
Generative AI has complicated the definition of use. On the one hand, you could argue that the use of a piece of musical training data happens just once, at the point of training. On the other hand, creators would be right to complain that the creative essence of their work lives on in the structure of the model, used every time the model produces an output.
Now, companies like Sureel and SoundVerse are working to re-create the essential economic principle that motivates creativity in an era of AI. Such initiatives aim to turn the generative AI industry from one guilty of “the biggest act of copyright theft in history” into one that coexists harmoniously with hardworking artists.
Music Royalties for the AI era
Sureel, a startup Warner Music Group just acquired, has partnered with the Swedish copyright agency STIM to explore the potential for music creators to get paid when their music is used to train generative AI tools. Sureel’s software labels online media, such as a music file, with instructions determined by the owner. The instructions specify whether an AI company may use the media freely in training, limit its influence in any given training set, or avoid it altogether. The software then tracks how the AI company uses the media in training and sets licensing fees accordingly.
Meanwhile, the founders of the AI music company SoundVerse “[reject] one-time royalty buyouts as insufficient and [advocate] for ongoing participation of artists in the AI lifecycle,” they wrote in a 2025 white paper. They argue that each time a generative AI system produces an output, certain pieces of training data play a greater role than others. If the system outputs music resembling jazz, the jazz in the training set has arguably contributed more than, say, the folk music. You can therefore differentially reward each piece of training data for each output.
Sureel’s Co-President Benji Rogers told me, “Attribution isn’t about re-creating the old economics. It’s about measuring, for the first time, the thing the old economics only approximated.”
Such influence attribution needs to do more than superficially measure how similar a training data point is to the AI output. The challenge is to attribute causality, or a relationship between the training data and the trained AI, Sureel CEO Tamay Aykut says.
Even if the AI industry achieved that, however, it might encourage people to create music designed to maximize training-data royalties. While all creative markets lead to new incentives (music streaming, for example, has driven songs to have shorter intros), the industry could do without another economic structure that is easily gamed, in which someone’s reverse-engineered pastiche diverts royalties away from original works of creative expression.
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