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Texas AG Presses Play on Music Streaming Payola Probe

  • Texas AG Ken Paxton announced that his office is investigating major music streaming platforms over concerns that they may accept payment to artificially promote certain songs, artists, or content in violation of Texas law.
  • In a press release, the AG’s office indicated that the investigation will focus on whether the music streaming services entered into undisclosed financial arrangements with record labels, promoters, or third parties to boost visibility, playlist placement, or recommendation rankings.
  • The AG’s office expressed concern that such undisclosed paid promotion could distort competition and mislead listeners about why certain music is recommended.
  • According to the AG’s office, civil investigative demands were issued to the companies as part of the investigation.