Why I Moved from SoundCloud Distribution to Too Lost

My stance as an independent label in the age of AI (This is not an ad or partnership)

Tansel Günay (aka Punkat) — Punkat Music Sàrls | Steinsel/LUXEMBOURG

Independent music is not the old world anymore. A significant part of the artists I work with use AI at some point in their creative process: sketching with Suno, building rhythm or harmony backbones with AI-assisted parts, then adding their own melodies, lyrics, and vocals. This isn’t “exceptional” anymore; it’s the current production reality.

As Punkat Music, I acknowledge this reality. The sustainability of what I do depends on it: instead of shutting the door on technology, I treat AI as a natural part of the process and manage it within the framework of originality, legal clarity, and transparency.

My core question is not “Does this track contain AI?”. What really matters is:

• Is the release legally clean and properly licensed?
• Does it carry the artist’s own identity and intent?
• Is this something I can confidently stand behind in the future?

When an artist brings a 100% AI-generated beat, I don’t automatically say “no.” I’ve also used AI vocals in a few projects; I’m not closed to the tools. But whenever possible—especially with model-generated instrumentals like those from Suno—I suggest moving beyond “export and upload as is” and shaping something more original: rebuilding arrangements, changing or replaying parts, and making the sound feel like the artist’s own work.

This requires extra time and budget. Not everyone can or wants to choose that route. In such cases, I at least make sure that:

• the AI tool (e.g., Suno Pro/Premier) truly grants commercial rights,
• there’s no unlicensed sampling, voice cloning, or impersonation risk,
• the disclosure about AI usage is honest.

In short: instead of resisting change, I try to keep AI-assisted production transparent, documented, and defensible.

That approach eventually stopped aligning with SoundCloud’s distribution framework.

SoundCloud Misalignment: a mindset that penalizes transparency!

I still value SoundCloud as a platform for independent artists. But on the “SoundCloud for Artists / distribution” side, the increasingly strict stance on generative AI now conflicts with how I and the artists I work with actually operate.

Their official documentation says content created with or assisted by AI may be subject to extra review, and that anything outside certain integrations or conditions can be scrutinized more strictly and rejected.

What I see in practice can be summarized as:

• Some “approved” integrations get warmer treatment, while works made with other AI tools (including Suno Pro/Premier with commercial rights) can more easily fall under suspicion.
• Projects with real vocals, original compositions, and AI only on instruments/backing—fully documented and licensed—can still be auto-rejected under a broad “AI concern.”
• Being candid about AI usage can sometimes turn into a disadvantage.

My stance is the opposite: if a track includes Suno Premier elements and everything is licensed, original, and well-documented, I don’t want to hide it. A framework that punishes this level of transparency doesn’t fit how Punkat Music operates.

So moving to a distribution partner more aligned with the production reality of the AI era became inevitable.

Why Too Lost?

This isn’t a knee-jerk breakup; it’s a structural choice that better matches my working principles.

In 2025, what I expect from a distributor is very clear:

• realistic, clear, and consistent rules for AI-assisted and AI-generated music,
• a focus on copying, impersonation, and infringement—not the mere presence of AI,
• professional tools for multi-artist management, flexible splits, and rights administration.

Too Lost’s approach seemed closer to these expectations.

1. A Policy that Frames AI, Not Bans It

Too Lost does not categorically reject AI-generated content. It has clear conditions:

• no copying of other works,
• no impersonation of artists or brands,
• no copyright infringement,
• no violation of platform/store rules.

100% AI tracks may go through additional quality and policy checks—which is understandable. The point is, they don’t auto-convict a track just because “AI was used.” There’s room for original, documented, and licensed work.

2. Rights Stay with Us

Too Lost manages distribution and royalty flows; it doesn’t claim ownership of masters or compositions. The split between artist and label remains defined by our contracts. For Punkat Music, that’s non-negotiable.

3. Tools That Match How a Label Works

The features match Punkat Music’s daily needs:

• multi-artist management from a single dashboard,
• royalty split and recoupment,
• Content ID and usage tracking,
• detailed reporting and analytics,
• optional publishing administration.

All of this makes catalog management both easier and more traceable.

4. Room to Be Honest about AI

Crucially, Too Lost doesn’t nudge me to stay vague or bend descriptions just to get a project accepted. If a release uses Suno Premier elements while the composition is original, the vocal is real, and rights are clean, I can state that openly. That transparency isn’t treated as a red flag—it’s part of a professional workflow.

Conclusion: Adapting to Reality, Staying True to the Line

AI tools will keep evolving. Independent artists will keep using them. Some releases will be almost entirely AI-generated, some fully human-made, and many somewhere in between. A serious label’s job isn’t to deny this—it’s to structure it:

• ensure rights are properly handled,
• protect originality as much as possible,
• run an honest, well-documented process.

Punkat Music’s move from SoundCloud distribution to Too Lost is precisely a result of that need.

I work with fully organic artists and with those who build hybrid works using tools like Suno. What matters is that we don’t have to hide how the music is made. As of today, Too Lost supports this philosophy more clearly, so I’ve shifted my main distribution route here—for now. But this transition is still very new, and I’ll share real-world experiences and any hiccups as they arise. I know there’s no perfect platform.