---
id: "action-establish-ai-cmos"
type: "action-item"
source_timestamps: ["§ The Music Industry Precedent"]
tags: ["institutions", "policy"]
related: ["concept-collective-management-organizations", "framework-cmo-compensation", "entity-ascap", "entity-bmi", "question-intra-category-distribution"]
action: "Create AI-specific Collective Management Organizations (CMOs) to administer blanket licenses and distribute royalties."
outcome: "A scalable, transaction-cost-efficient infrastructure for compensating millions of individual data creators."
audience: ["creative industries", "guilds", "policymakers"]
sources: ["tail1"]
sourceVaultSlug: "hbr-seg-tail1"
originDay: 1
articleStem: "hbr-tail-109-ai-pay-fair-rates-content"
sourceUrl: "https://hbr.org/2026/06/how-ai-companies-can-pay-fair-rates-for-the-content-they-need"
sourceTitle: "How AI Companies Can Pay Fair Rates for the Content They Need"
---
# Establish Collective Management Organizations for AI data

## Action

**Create AI-specific [[concept-collective-management-organizations|Collective Management Organizations (CMOs)]] to administer blanket licenses and distribute royalties.**

Creative industries, guilds, and policymakers should collaborate to establish CMOs specifically for AI training data — modeled on [[entity-ascap|ASCAP]] and [[entity-bmi|BMI]]. These bodies would issue blanket licenses to AI companies, collect a share of [[concept-per-model-operating-profit|operating profits]], and distribute funds, bypassing millions of individual micro-transactions. This is **Step 3** of the [[framework-cmo-compensation]].

## Expected outcome

A scalable, transaction-cost-efficient infrastructure for compensating millions of individual data creators.

## Open dependency

How a CMO distributes funds *within* a category is unresolved — see [[question-intra-category-distribution]].
