It sounds like one of those recursive ANN things. On the scale of seconds, it's quite good. But there's no higher-level structure. For "folk", this is obvious; for ambient, you'd probably never notice.
The goal for this technology is to beat the two guys who write most popular music.[1] Another few years.
Your electronic offerings are OK. While I'm skeptical about your business model, as it stands, one possible pivot would be to pitch it at musicians as a dynamic arrangement/compositional tool.
I would very much like to try it with MIDI output, as I personally enjoy tweaking synths and effects more than the compositional tasks of harmonizing melodies etc.
The goal for this technology is to beat the two guys who write most popular music.[1] Another few years.
[1] http://nypost.com/2015/10/04/your-favorite-song-on-the-radio...