UNESCO Report: AI Could Slash Artist Incomes by Nearly a Quarter by 20

When a musician spends years mastering their craft, building a following, and finally reaching a point where their art can sustain them, the last thing they expect is an algorithm to rewrite the economics of their profession. Yet that’s exactly what UNESCO is warning could happen by 2028—and the numbers are stark.

“Creators worldwide are facing mounting financial pressures as rapid advances in digital technologies and artificial intelligence continue to transform the cultural and creative industries.” — UNESCO Report

The $2.5 Trillion Elephant in the Room

Global spending on AI is forecast to reach $2.5 trillion in 2026, a 44 percent increase over 2025, according to Gartner. While tech companies and investors celebrate this unprecedented wave of capital, the creative sector is bracing for impact. The UNESCO report, covering more than 120 countries, projects that music creators could see their revenues fall by 24 percent, while those working in the audiovisual sector may lose 21 percent of their income.

The shift isn’t happening in some distant future. It’s happening now. AI-generated content is already entering global markets at a pace that outstrips current policy responses, exacerbating inequalities and threatening the livelihoods of millions of cultural workers.

The Creative Digital Divide

Access inequality compounds the problem. While 67 percent of people in developed countries possess essential digital skills, the figure drops to just 28 percent in developing countries. This digital divide, paired with the growing dominance of major streaming platforms and opaque algorithms that hinder content visibility, is contributing to widening disparities among creators—particularly those operating in the Global South.

Intellectual property violations are on the rise. Creators are experiencing heightened exposure to unauthorized use of their work as AI-generated outputs enter the marketplace. The report stresses that these disruptions are occurring faster than regulatory frameworks can adapt, leaving artists vulnerable.

Platform dependency has intensified. The concentration of power among a handful of streaming services means creators have little negotiating leverage. When algorithms determine what gets seen, and AI can generate endless variations of creative content, the value of human artistry faces systematic devaluation.

“Without renewed investment, fairer market conditions and stronger international cooperation, creators risk being further marginalised as technologies evolve.” — UNESCO Director-General Khaled El-Enany

8,100 Policy Measures and Counting

The UNESCO report outlines more than 8,100 policy measures already in place across its member states, but the agency warns that current efforts are insufficient. The report calls for urgent, coordinated action to protect creators’ rights, strengthen regulatory frameworks, and reinforce the cultural sector’s contribution to sustainable development.

The stakes extend beyond individual livelihoods. UNESCO urges governments to mobilize cultural policy as a strategic priority—not just to safeguard artists’ incomes, but to ensure that creativity continues to serve as a driver of social cohesion, economic opportunity, and cultural diversity in a rapidly changing world.

The Investment Paradox

Between 2013 and 2024, total global corporate investment in AI reached $1.6 trillion, according to Stanford University’s AI Index Report. This dwarfs even the most ambitious projects in human history: the Manhattan Project ($36 billion), the International Space Station ($150 billion), and the Apollo Program ($250 billion).

The US has dominated AI spending, accounting for roughly 62 percent of total private AI funding since 2013. American companies have poured $471 billion into AI, supporting nearly 7,000 newly funded AI companies. China follows at $119 billion, with the United Kingdom at $28 billion.

Yet this massive capital deployment has flowed primarily toward automation and efficiency—technologies that often replace human creative labor rather than augment it. The question facing policymakers is whether any meaningful portion of this investment can be redirected to support the very creators whose work often trains the AI systems now threatening their livelihoods.

What Comes Next

Industry observers are watching to see how governments respond to UNESCO’s call for action. Several key questions remain: Will new copyright frameworks emerge that compensate artists for training data usage? Can streaming platforms be regulated to ensure fairer revenue distribution? Will developing countries receive support to bridge the digital divide?

The coming years will reveal whether the creative economy can adapt to the AI era—or whether millions of artists will become collateral damage in the rush toward technological transformation. For now, UNESCO’s message is clear: the current trajectory threatens to marginalize the very creators who give culture its meaning.

UNESCO Director-General Khaled El-Enany declared that the current era represents a critical moment for the creative economy. Whether world leaders heed that warning remains to be seen.

This article was reported by the ArtificialDaily editorial team. For more information, visit UN News and Al Jazeera.