Musical AI and Beatoven.ai to build “first fully licensed, rights holder-compensating” AI music generatorAI training content licensing and attribution company Musical AI and Beatoven.ai have teamed up to build what they claim to be the industry’s first “fully licensed, rights-holder-compensating, generative AI platform” trained on copyrighted music and other audio.
Set to debut in the second half of 2025, the tool – designed to ensure musicians and rights holders are “compensated for every use of their repertoire” – will be trained on over 3 million songs, loops, samples, and sounds.

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The AI song generator will leverage Beatoven.ai’s existing technology, while Musical AI will provide the essential backend, including data licensing, attribution of generated outputs, and fair payments to rightsholders.
Artists and rights owners will receive a revenue share based on how the AI-generated outputs are used, mirroring the model of streaming royalties. In short, everything will be “completely legal and licensed”, with all with the necessary permissions from rights holders.
Musical AI will exclusively offer this full-song generator to its enterprise clients as a white-label service.
“We are working with the forward-thinking, ethically driven team at Beatoven.ai because they see the value in proving that generative AI can be legal and can compensate original content creators for their work while still thriving as a business,” says Musical AI CEO Sean Power. “There are no more excuses for not doing things right and well. We’re proving this with this first-ever service.”
Fair compensation for artists and rights holders has become a hot-button issue in the music industry, especially with the rise of AI-generated content. We’ve seen major record labels like Universal Music Group and Sony Music Entertainment filing significant copyright infringement lawsuits against AI music companies like Suno and Udio, accusing them of unauthorised use of copyrighted sound recordings to train their AI models.
For Mansoor Rahimat Khan, founder and CEO of Beatoven.ai, this partnership “will set the way forward for how business models need to be built in AI with the rightsholders being compensated for the data the models are trained on.”
“We have historically been adopting this model in direct partnerships with independent artists and by joining hands with Musical AI we will build a sustainable revenue sharing model using their attribution technology,” says Khan.
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