Risk: High

Starting an AI music royalty streaming business from scratch can be risky, especially for someone unable to afford losses. Potential losses include money invested in technology, licensing fees, marketing, and time spent on setup and management. Beginners may spend money on AI algorithms, streaming platforms, and marketing without generating sufficient revenue initially. Startup costs for technology and licensing may not pay off immediately. Online discussions mention challenges in generating revenue and the high competition in the music streaming industry. I'd rate the risk a 1 out of 3 because there is a high chance of losing money due to significant initial investments and uncertain returns, especially for newcomers.