Suno, Udio & the Music Industry: AI-Generated Songs Face Copyright Battles
Cambridge, Massachusetts – The future of music may very well be taking shape in a 19th-century office building here, where Suno, an artificial intelligence startup, is attempting to bridge the gap between technological innovation and a deeply skeptical music industry. After facing legal challenges from major record labels, Suno and its competitor, Udio, are now engaged in delicate negotiations to secure licensing agreements that could redefine how AI interacts with copyrighted music.
Suno CEO Mikey Shulman demonstrated the platform’s capabilities, typing descriptive words – “Afrobeat, flute, drums, 90 beats per minute” – into the system. Within seconds, a vibrant rhythm filled the room, showcasing the ease with which AI can now generate original music. “We have always thought that working together with the music industry instead of against the music industry is the only way that this works,” Shulman said. “Music is so culturally important that it doesn’t make sense to have an AI world and a non-AI world of music.”
The path to collaboration hasn’t been smooth. In 2024, Sony Music, Universal Music, and Warner Records filed copyright infringement lawsuits against both Suno and Udio, alleging unauthorized use of their artists’ work. Since then, Udio has reached settlements with Warner Music Group and Universal Music Group, and also with independent label Merlin. Suno settled with Warner Music Group in November, but remains locked in legal battles with Universal Music Group and Sony Music Entertainment, as well as European music rights organizations.
The initial settlement between Udio and Universal Music Group, however, wasn’t universally welcomed. The deal led to a temporary block on downloads for Udio users, frustrating those who had already created tracks on the platform. Despite this initial setback, Udio CEO Andrew Sanchez remains optimistic. “Having a close relationship with the music industry is elemental to us,” he stated. “Users really want to have an anchor to their favorite artists. They want to have an anchor to their favorite songs.”
Not everyone is convinced. Singer-songwriter Tift Merritt, co-chair of the Artists Rights Alliance, is a leading voice of opposition. She helped organize a “Stealing Isn’t Innovation” campaign, garnering support from artists like Cyndi Lauper and Bonnie Raitt, urging AI companies to prioritize licensing and partnerships. “The economy of AI music is built totally on the intellectual property, globally, of musicians everywhere without transparency, consent, or payment,” Merritt explained. “So, I know they value their intellectual property, but ours has been consumed in order to replace us.”
Shulman addressed past criticisms stemming from a comment he made on the “The Twenty Minute VC” podcast, where he suggested that “it’s not really enjoyable” to make music most of the time. He clarified that his remark was about the repetitive nature of achieving perfection in music production, not about the joy of music itself. “Clearly, I wish I had said different words,” Shulman admitted. “On the whole, obviously, music is amazing. I play music every day for fun.”
Sanchez, similarly, emphasized his personal connection to music, sharing his background as an opera-loving tenor. He positions Udio as a more collaborative and artist-friendly alternative within the AI music landscape. “So many tech companies actively cultivate this I-am-a-tech-company-crusader and that’s part of their identity,” Sanchez said. “That alienates people who are creative and I am uniformly opposed to that.”
Beyond the industry debate, some musicians are already exploring the potential of AI as a creative tool. Christopher “Topher” Townsend, a gospel music producer, uses Suno and ChatGPT to create music under the alias Solomon Ray, streamlining his production process and reaching audiences quickly. “I can see why artists would be afraid,” Townsend acknowledged. “He doesn’t get sick. You know, he doesn’t have to take leave, he doesn’t get injured and he can work faster than I can work.”
Jonathan Wyner, a professor of music production and engineering at the Berklee College of Music, believes generative AI can be a valuable tool for musicians. “To the creative musician, AI represents both enormous potential benefits in terms of streamlining things and frankly making kinds of music-making possible that weren’t possible before, and making it more accessible to people who want to make music,” he said.
However, Merritt remains concerned that licensing deals may not adequately protect independent artists. The negotiations between AI companies and record labels are ongoing, and the outcome will likely shape the future of music creation and consumption.
Despite not receiving an invitation to the Grammy Awards in February, both Shulman and Sanchez were present at related events, networking and advocating for their platforms. Shulman expressed hope that AI music will be recognized at future award shows. “I think AI music is still officially not allowed, and my hope is that some of these rules change over the next year, and then maybe the 2027 Grammys, I’ll get an invite,” he said.