
First US Streaming Fraud Conviction: Michael Smith Sentenced to 18 Months for AI Bot Scheme
Michael Smith, a 54-year-old North Carolina musician, was sentenced to 18 months in federal prison and ordered to forfeit $8.1 million for the first-ever US prosecution of music streaming fraud. From 2017 to 2024, Smith used AI-generated songs and thousands of bot accounts to generate billions of fake streams, siphoning royalties from legitimate artists. The case prompted the US Copyright Office to launch a formal inquiry into AI-driven streaming fraud, with public comments due in November 2026.


