IFPI Launches Initiative to Combat Streaming Fraud

The IFPI, the international trade body that represents the recorded music business, has launched a new initiative through which participants commit to baseline practices to prevent, detect and respond to streaming fraud.

Dubbed the “Streaming Integrity Initiative,” or SII, it has so far been supported by Absolute Label Services, ADA, AWAL, CD Baby, CmdShft, Ditto Music, FUGA, GoDigital, HYBE, IDOL, IMPALA, InnerCat Music Group, Merlin, Redeye, Revelator, RouteNote, Secretly Distribution, Symphonic, Sony Music Group, The Orchard, Too Lost, Universal Music Group, Virgin Music Group and Warner Music Group.

Notably, the largest DIY music distributor, Distrokid, has not yet signed on.

Related How Each Music Listening Platform Is Treating AI Music (Updating) Billboard to Add Smart Media Albums As Chart-Eligible Sales Formats Duane 'Keffe D' Davis Gives First Interview After Tupac Shakur Murder Conviction To be part of SII, participants sign on to five core commitments, including: Know Your Customer (KYC) checks to “verify rights ownership and customer identities through robust rights verification” Content vetting “using effective tools and processes to identify infringement, fraudulent activity and AI-related risks” Detection, investigation and mitigation of suspected fraud, including repeat offenders Intelligence sharing, where legally permitted, to prevent offenders from jumping from service-to-service Continuously strengthening and measuring anti-fraud systems to address evolving threats SII is the latest move by the recorded music industry to get a handle on the persistent issue of streaming fraud, or the manipulation of digital service providers (DSPs) to siphon royalties from plays that are not from genuine fans.

Experts say that the problem is significant, costing artists and platforms hundreds of millions, or even billions, each year — and as AI makes it easier than ever to perform these schemes, it’s become a hot topic.

In recent years, Trust and Safety , a symposium run by by Music Business Association, was formed for the express purpose of educating the music establishment about the issue.

Two years ago, a coalition of industry players formed the Music Fights Fraud Alliance (MFFA) in the U.S. to band together distributors and streaming services and establish a way to share data and coordinate anti-fraud efforts.

A representative for SII says that while the initiative liases closely with the MFFA, it is not directly connected.

SII is part of a wider campaign from the IFPI called End Streaming Fraud that aims to raise awareness for the issue.