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Tidal Cuts Royalties for Fully AI Music, Adds Label

From July 15 the streaming service stops paying royalties on fully AI-generated tracks, badges them with an 'AI' tag and removes those that impersonate real artists.

Ivana Veljković3 min read0
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A hand holds a smartphone showing open music streaming apps
A music streaming app on a smartphone/ Photo: Pexels
In brief
  • On June 29 Tidal announced that fully AI-generated tracks will no longer earn royalties.
  • The new policy takes effect on July 15, 2026; fully AI tracks get a visible "AI" label and cannot be sold directly to fans.
  • Automated tools will remove music that impersonates existing artists or misleads listeners.
  • Tidal joins Spotify, Apple Music, Deezer and Qobuz in trying to govern the flood of machine-generated sound.

There is a particular kind of silence in a playlist assembled by an algorithm: the tracks line up flawlessly, without a single wrong note, and behind them stands no hand, no breath, no night spent in a studio. It is precisely that smooth, emptily perfect silence that Tidal tried to break this week, and not with an aesthetic manifesto but in the only language the industry listens to all the way through, the language of money.

On June 29 the streaming service announced that, from July 15, tracks generated entirely by artificial intelligence will no longer be able to earn royalties. Such songs will carry a visible “AI” label, will not be allowed to sell directly to fans, and dedicated automated tools will remove the ones that imitate existing performers or deliberately mislead listeners. The policy, the company says, is meant to be a living document that will change as both the technology and the ways around it evolve.

It is worth noting what is not banned here. Tidal is not hunting down the musician who used a model to polish an arrangement or generate a backing vocal. The line is drawn narrowly and precisely around tracks that no one can sign, around content whose only author is a prompt typed into a program. The distinction is subtle but decisive, because it separates a tool in an author’s hands from a factory with no author at all.

Is a label enough to protect a living creator?

This is where it gets interesting. Demonetization is measurable and clear, but the “AI” tag relies on something far less reliable, the listener’s attention. The question is whether the average user, caught up in a running or sleeping playlist, will even notice the small mark beside a title, or whether a song sung in a voice that does not exist will simply carry them onward without a single moment of doubt. The badge is a gesture of honesty toward the audience, but honesty only works if someone is looking.

The second, much harder part of the policy concerns impersonation. Removing tracks that steal someone else’s voice or identity is not a matter of taste but of protection, and here Tidal sides with the flesh-and-blood performers whose timbre suddenly turns up on songs they never recorded. If the automated tools work fairly, this will be the first time a platform tries to measure how much machine-generated sound actually disappears once the financial incentive is removed.

What Tidal’s move means for the rest of the industry

Tidal is not the first to grapple with this. Spotify reworked its labeling rules last year, Apple Music announced its own tagging system, and Deezer went furthest by pulling AI tracks out of editorial playlists. What Tidal adds is not a revolution but a concrete step: the shift from a warning to the wallet. When several services agree at once that a fully AI track does not deserve a royalty, the economics of the genre begin to change, and with them the calculations of those who saw machine music as an easy way to pad a catalog.

The question of enforcement remains, of course. Detection is a race in which generators always have the first-mover advantage, and the definition of a “fully AI” track will only blur as the tools seep into every stage of production. But the direction is clear, and for the first time it seems the industry is no longer asking whether machine music exists, but how much room it is willing to give it.

And you, the next time you come across a song marked “AI”, will you listen to the end or skip straight to the next one?

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