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Copyright

The conversation begins with the challenges AI poses to copyright in the music industry. Scott Galloway highlights how AI models like ChatGPT can lift content verbatim from sources like Forbes, raising significant copyright concerns 1. He believes that compensating content creators is essential for building ethical AI models. Ed Elson adds that major music labels have filed lawsuits against AI companies for using their music without permission, seeking substantial damages 1.

If you're an AI company and you want to build a generative model, there's basically no question now you're gonna have to pay for it. You can't just build these things for free.

--- Ed Elson

This legal pressure is setting a precedent that could benefit publishers, creators, and journalists alike.

   

Licensing

The discussion then shifts to YouTube's proactive approach in negotiating licensing deals with music labels. Scott praises YouTube's strategy to license full libraries of content, ensuring that AI-generated music is legitimate and creators are compensated 1. Ed provides additional context, noting that YouTube has offered lump sums to major labels to encourage artist participation 2.

This just makes a ton of sense, and I think it's the right way to build these models, because from the get-go, these content creators are getting compensated.

--- Scott Galloway

This approach not only mitigates legal risks but also sets a positive example for other AI companies.