AI licensing platform Vermillio has secured a $16 million Series A funding round led by Sony Music Entertainment (SME), aiming to enhance AI content protection and monetization capabilities.

Vermillio, founded five years ago, specializes in Authenticated AI solutions through its flagship product TraceID. This digital hub helps rightsholders identify, license, and monitor generative AI content that uses their protected works. The platform has already demonstrated success through collaborations with Sony Music, including David Gilmour's AI-powered Metallic Spheres In Colour project.

The funding round also included participation from DNS Capital, a Chicago-based family office with previous investments in AI startups. Vermillio plans to use the investment to strengthen its protection of talent, record labels, and studios in the rapidly evolving AI landscape.

Notable achievements include:

• Tracking 1.5 million fan creations in a Spider-Man AI-animation partnership with Sony Pictures
• Launching a successful Ryan's World campaign with Pocket.watch enabling custom AI-generated merchandise
• Developing secure AI solutions that benefit both technology innovators and rightsholders

Dennis Kooker, SME president of global digital business, emphasized the company's commitment to protecting IP while exploring new commercial opportunities in AI. He praised Vermillio's approach to proper consent, clear attribution, and fair compensation for creators.

This investment follows industry trends in AI content protection, with Universal Music Group recently partnering with ProRata.ai, which secured a $25 million Series A funding and is launching its AI search engine, Gist, in 2025.

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