AI music consumption surges among millennials and Gen Z, Wall Street sees upside for labels

A Morgan Stanley survey found over half of listeners aged 18-44 listen to 2.5-3 hours of AI music per week. Wall Street analysts are almost unanimously bullish on record label stocks like Warner and Universal, arguing that their artist libraries remain immensely valuable and that lucrative AI licensing deals are already being inked. The music industry faces a familiar pattern: new technology initially perceived as existential threat becomes a revenue driver through licensing and partnerships, similar to how streaming transformed from piracy enabler to primary revenue source.

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