The songs that the AI CEO provided to Smith originally had file names full of randomized numbers and letters such as “n_7a2b2d74-1621-4385-895d-b1e4af78d860.mp3,” the DOJ noted in its detailed press release.
When uploading them to streaming platforms, including Amazon Music, Apple Music, Spotify, and YouTube Music, the man would then change the songs’ names to words like “Zygotes,” “Zygotic,” and “Zyme Bedewing,” whatever that is.
The artist naming convention also followed a somewhat similar pattern, with names ranging from the normal-sounding “Calvin Mann” to head-scratchers like “Calorie Event,” “Calms Scorching,” and “Calypso Xored.”
To manufacture streams for these fake songs, Smith allegedly used bots that stream the songs billions of times without any real person listening. As with similar schemes, the bots’ meaningless streams were ultimately converted to royalty paychecks for the people behind them.
I would like that source code for… reasons.
Not sure how this is a crime… breach of TOS, sure, but a crime?
What law is being broken here?
If his fake bands are being paid for bot clicks, that’s a problem for the platforms to figure out. They need to examine their TOS.
Its theft, which is against the law to do against a company or person. Its similar to trading in empty boxes at GameStop or sending back boxes full of rocks to amazon.
Although most people seem to just pick a side based on whether they think that company should exist or not.
There are far too many loopholes for me not to hate companies be they small or large.
In Australia, “family trusts” are a sure way to write off a good chunk of your expenses (groceries, fuel and so on) while paying yourself a wage. If you really want you can cook the books taking cash sales for yourself too.
Don’t forget about “taking” whatever you want from the company, and writing that off as a loss.
Maybe I should hate people, but in a vacuum people are reasonable, logical and honorable. But once we introduce a “well maybe” or an “but what if I were to purchase fast food and disguise it as my own cooking?” my view of people becomes skewed.
I guess, I wanted to vent about how fucked everything seems to be and that I feel powerless to do anything about it. GameStop as a company probably deserve the rocks in boxes, Amazon deserve them too, all because people are running those companies.
I’m not above greed, but I’d like to think / feel that I put out more than I take and it seems quite uncommon in our modern society.
People will use whatever tools available to them. If their community supports it they will do it publicly, if not they will hide it. Drug use is a great example in some cases.
If Australia allows people to convert their families to a company just to avoid taxes, then thats on the government to fix, not the people to stop doing.
As long as there is no UBI there will always be pressure to use all tools available when things get hard.
Try to overthrow the US government? You can still be president. Break a companies arbitrary TOS? Police are at your door to take you away for a long time.
Rent free…
Well, of course. A president attempting to overthrow the government is a huge deal, you fetid fucking moron.
But nuthin hayuh-pinned! It wuz aint teefuh! Reeuhnt freeee…
Wow. I’m a hobbyist musician. I have ~12 million listens across various streaming services and have made a whopping $45 in the two years since I finally released ~25 years worth of material. (Which is a lot of why it’s my hobby and not a living.)
I can’t imagine the numbers this guy had to pull off to make that much.
Send me a link and I can get you to ~12 million and 1 listens.
Maybe a stupid question but… what exactly was illegal about this? I’m sure there were ToS or EULAs violated, but what law is he being charged on?
3rd sentence of the article:
Indicted on three counts involving money laundering and wire fraud, the Charlotte-area man faces a maximum of 20 years per charge.
If you follow the article to the press release:
SMITH, 52, of Cornelius, North Carolina, is charged with wire fraud conspiracy, which carries a maximum sentence of 20 years in prison; wire fraud, which carries a maximum sentence of 20 years in prison; and money laundering conspiracy, which carries a maximum sentence of 20 years in prison.
Those are the charges yes, but how is this any different than what all sorts of corporations do
The difference is he was a poor trying to pull himself up. Corporations are glorious entities that can do no wrong in American law.
It’s fraud I’m assuming. They fake “plays” for Spotify to reward by sending payment, but these plays were people that did not exist. Spotify was paying for ghosts to essentially steam music
Facebook and other social media corporations use AI bots to generate “views” to inflate their traffic numbers to entice advertisers. They also use bots to piss people off and drive “engagement.”. Which is also fraud.
Its not wrong when a corporation does it its capitalism. When an individual does it its crime.
Lawsuit, sure, but is it actually illegal?
uh, yes? it’s at the least fraud fs? the article says the doj is charging mike smith with three money laundering charges and one count of wire fraud. obviously the wire fraud charge comes from an argument that smith defrauded the distribution companies into illegitimately paying out royalties for false streams. note that the artificial intelligence solution only comes into the argument for the purposes of how he committed the crime, it really had nothing to do with the crime itself, at least intrinsically. if you read the press release from the doj, you can see that they make a pretty airtight argument that, quote:
SMITH made numerous misrepresentations to the Streaming Platforms in furtherance of the fraud scheme. For example, SMITH repeatedly lied to the Streaming Platforms when he used false names and other information to create the Bot Accounts and when he agreed to abide by terms and conditions that prohibited streaming manipulation. SMITH also deceived the Streaming Platforms by making it appear as if legitimate users were in control of the Bot Accounts and streaming music when, in fact, the Bot Accounts were hard coded to stream SMITH’s music billions of times. SMITH also caused the Streaming Platforms to falsely report billions of streams of his music, even though SMITH knew that those streams were in fact caused by the Bot Accounts rather than real human listeners.
SMITH’s hundreds of thousands of AI-generated songs were streamed by his Bot Accounts billions of times, which allowed him to fraudulently obtain more than $10 million in royalties.
it is not illegal to lie. it is absolutely illegal to lie for the purposes of financial gain. sure, i’m not disagreeing that what he did could not somehow be construed as something of a robin hood character arc (even tho he most certainly did this for the purposes of his own personal enrichment). but he almost definitely is guilty of the wire fraud charge and i do have a strong feeling, based on the prosecutorial level of this case, the involvement of a specialized division of the fbi, and his purported co-conspirators; that the money laundering charges are ironclad as well. frankly, i’m hoping his co-conspirators actually do end up going to trial and we get to learn what the company that aided in his fraud actually was. on fucking god it’d be one thing if he ran this grift machine for a little while, paid off a lil bit of his debts and all, maybe even lived off of it. but to steal $10 million fucking dollars with it, even when he knew he was committing fraud and had to explicitly hide his criminal activity??? no shit the fbi was hot on your trail. what an absolutely, colossal dipshit michael smith must be. i respect the ingenuity but it is so blindingly obvious that 10 million dollars was egregiously too many times to press a “free money button” you just invented in a capitalist autocratic hellscape.
QUICK EDIT: i do just wanna say also i did not downvote u/shani66 and i just wanted to contribute to discussion. just noticed after i posted someone had downvoted them which is kinda goofy of whoever that is.
Just wanted to add something. Lying for Financial gain isn’t illegal it’s how you do it. Like people lie for Financial gain all the time.
that’s fair, my absolute statement doesn’t reflect the exclusive way anti fraud laws are written. you certainly might find and successfully exploit legal ways to lie for financial gain, but at best it’s unethical and at worst you’ll have to defend why your deceit isn’t criminal fraud in a lawsuit. it kind of depends on who you piss off the most, imo.
I would not just say unethical. You have to consider multiple facets and situations. While yes it may not be best. Sometimes they have to feed children or otherwise. To put it simply most things aren’t black and white.
Honestly I don’t think this should be a crime.
No.
By inflating his own playcounts, the value of each play goes down. All that money he got? Came straight out of the pockets of real artists.
