New York, NY – February 6, 2025 – Musical AI, the licensing infrastructure platform connecting music rights holders with AI companies, today announced it has secured $2.1 million CAD ($1.5 million USD) in funding led by Build Ventures, with participation from strategic angel investors. The investment will accelerate Musical AI's mission to create a transparent, ethical marketplace for AI music training while ensuring fair compensation for artists and rights holders.

Musical AI has emerged as a critical bridge between the music industry and artificial intelligence, addressing the urgent need for compliant training data as generative AI reshapes creative industries. The company's patent-pending attribution technology enables AI companies to train models on rights-cleared music while automatically tracking usage and distributing royalties to original creators.

"Generative AI will need attribution, and we're the first to master it and provide a secure platform that implements it along with industry accepted revenue sharing," said Matt Adell, Co-founder and COO of Musical AI and former CEO of Beatport. "We have these incredible advances in AI outputs that require valuable human-created input, and if you value this work, then logic dictates that an attribution platform must exist. We are that platform."

The company has rapidly scaled its catalog to over 20 million licensed tracks across all genres and territories, partnering with forward-thinking rights holders including Symphonic Distribution, Kanjian, SourceAudio, Pro Sound Effects, Soundstripe, APM, and others. Musical AI's platform is independently certified by FairlyTrained.org and compliant with emerging AI regulations including the EU AI Act and California AB 2013.

"At Musical AI, we've built infrastructure that allows musical assets to exist in a secure environment and enables us to attribute every single generation," said Sean Power, Co-founder and CEO. "In a future where we insist that music, art, ideas, and the human labor required to create them have value, this attribution platform becomes essential."

The investment comes as demand for ethically licensed AI training data accelerates globally. By 2028, AI-generated music is projected to reach €16 billion annually, creating both opportunity and risk for the music industry. Musical AI's technology ensures AI companies can innovate rapidly while rights holders maintain control over their catalogs and receive transparent compensation.

"We're excited to innovate rapidly in the music AI space, but we need a partner that allows us to do so while honoring artists," said Jorge Brea, CEO of Symphonic Distribution. "Musical AI is that partner."

Musical AI's approach allows AI companies to train models in their own secure environments while submitting training manifests and generated outputs to Musical AI for attribution analysis. This architecture eliminates the need to relocate sensitive data while providing comprehensive compliance documentation.

The funding will support expansion of Musical AI's rights holder network, enhancement of its attribution engine, and growth of its technical team. The company is also actively pursuing additional seed funding to accelerate its roadmap into video licensing and expanded international markets.

About Musical AI

Musical AI is the licensing infrastructure layer for media in AI, connecting rights holders and AI companies through compliant training data access, automated attribution, and transparent royalty distribution. Founded in 2024 by industry veterans Sean Power, Matt Adell, and Nicolas Gonzales-Thomas, Musical AI provides access to 20+ million licensed tracks, patent-pending attribution technology, and FairlyTrained.org certification. The company is building the industry standard for ethical AI training across music, video, and beyond.

For more information, visit wearemusical.ai