Why Songpact Isn't Going All In On AI (Yet)

Lately, we've noticed a few new "AI-powered" contract generation platforms have appeared, each promising to revolutionise the music business. The sales pitch is familiar: instant contracts, smart automation, and creative peace of mind at the click of a button. But look a little closer and many of these tools are still just fill-in-the-blanks generators dressed up with a chatbot and a .ai domain name.

At Songpact, we are excited by the potential of AI, but we are also realistic about where the technology is today. Because when it comes to music contracts, context, accuracy, and fairness still matter more than buzzwords.

The Limits of AI in Contract Generation

Large language models like ChatGPT are remarkable at generating text, but precision is not their strength. They can misinterpret key terms, overlook regional variations, and struggle to capture the commercial nuance that sits behind every music deal. In a music rights agreement, those subtleties are not cosmetic; they determine ownership, control, and long-term income.

AI systems also hallucinate—confidently generating plausible but false information. In a legal context, that risk is more than inconvenient. A hallucinated clause or misapplied precedent can have serious financial and reputational consequences.

The "AI-Washing" Problem

There is a growing trend to label anything with a chatbot as "AI-powered." It has become the shortcut to sounding innovative. But real AI in music contracts would do far more than autocomplete a form. It would understand royalty flows, interpret copyright law across territories, flag potential conflicts, and learn from prior negotiations. That level of sophistication does not yet exist in most products on the market.

Where Songpact Stands

We believe AI can make contracts faster, clearer, and more accessible, but it must work with human expertise, not instead of it. That is why we focus on intelligent document design and workflow automation built around real music law experience, not just machine output.

Crucially, AI today cannot yet judge fairness. It can produce something that looks like a contract, but it cannot balance the interests of artists, managers, and labels in a way that feels equitable to all sides.

The future of music contracts will absolutely involve AI. The question is not whether, but how. And for us, the answer is clear: combine smart technology with even smarter people.