I've been twitch streaming the entire playthrough of the X-Series from beginning (X-Beyond the Frontier) to X4, and I'm currently on X3: Terran Conflict. Part of my cycle is to do the Twitch Stream, download the VOD, edit it slightly and then upload it to YouTube as part of my channel. Unfortunately I've run into quite a serious problem today. I received a content ID match, something I've never received on my channel before, and I can't really dispute it because none of the options apply to me or my case.
I have previously uploaded 27 episodes on my YouTube channel without encountering any issues with copyright music. However, to my absolute horror, today, I received a claim for "PSYCORANGE - Reunion (154)," a sound recording administered by Voodoo Hoodoo Recordings.

Given that the only music used in my videos is from the in-game music that comes with the X-Games, at first I believed this claim to be a false positive. Upon conducting a YouTube search for "Psycorange - Reunion (154)," I discovered a video to a version of the song that includes the in-game music from the X-Games (Specifically: Echo's of a Xaar Empire) in the first 30 seconds before transitioning into a different, thoroughly unpleasant techno beat.
As a content creator myself (and probably not even a good one) I find it frustrating that someone would take someone else's work and modify it in such a way, only to claim it as their own original work.
My concern is whether or not Egosoft authorised this modification of their music for use in a different product without their knowledge or consent, or if they're allowing other people to copyright strike/content ID claim gameplay of their games under dubious pretences like this. As anyone who has played any of the X-Games can attest, the music in the first 30 seconds of the song is unmistakably from the game, and it even fooled the YouTube's Content ID Algorithm into flagging them as the same song. Therefore, I wonder if someone can simply take a song, such as in a video game, add a subpar techno beat, and then sell it as their own work.
In conclusion, I believe it is necessary to bring this matter to the attention of Egosoft. If they authorised the use of their music in this manner, then there is no issue, I'll just have to find a way of editing out that track from the game so it doesn't play ever again so I don't risk getting an actual copyright strike. However, if this was done without their knowledge or consent, it is dishonest and potentially illegal in some jurisdictions due to the unauthorised use of intellectual property.
Please advise.