€2.7 Billion at Stake: GEMA/SACEM Study Quantifies AI’s Hit-to-Music Revenues

In a groundbreaking collaboration, GEMA, in conjunction with its French counterpart SACEM, embarked on an extensive study to analyze the projected economic repercussions of artificial intelligence (AI) within the music industry. The study has produced staggering insights into the potential impact of AI-generated music on sales figures, painting a stark picture of the industry’s future landscape.

The GEMA AI study, conducted with the participation of approximately 15,000 songwriters and publishers affiliated with GEMA and SACEM, was not only comprehensive in scope but also revealing in its findings. With input from 16 experts interviewed by a Berlin-based media consulting firm, the study delved into the current state of the music market and projected future trends. The results indicated a forecasted thirty percent decline in sales by 2028, translating to an estimated loss of €2.7 billion for GEMA and SACEM members. This downturn in revenue has left seventy one percent of surveyed members apprehensive about their future livelihoods within the music industry, highlighting the gravity of the situation.

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Furthermore, the study shed light on the increasing reliance on AI technology among music professionals, with thirty five percent of participants already incorporating AI into their workflows. Notably, the adoption of AI varies across genres, with electronic music producers leading the way at fifty hour percent, followed closely by Hip-Hop and RnB. Conversely, acoustic music styles such as folk and world music exhibit lower levels of AI integration, reflecting the diverse landscape of technological adoption within the industry. As the music landscape continues to evolve in the digital age, the GEMA AI study serves as a reminder of the ongoing challenges and opportunities faced by musicians and rights organizations alike.

For more information, be sure to check out the official press release from GEMA here.