On June 2, 2025, reports indicated that major music labels, including Warner Music Group, Universal Music Group, and Sony Music Group, are in advanced talks with artificial intelligence (AI) startups Suno and Udio. These discussions center on licensing agreements for the use of their music catalogs.
The objective of these negotiations is to establish a framework for compensation when music by represented artists is used to train generative AI models and produce new musical content. The music companies are seeking to develop fingerprinting and attribution technology to track usage.
Furthermore, the labels aim to actively participate in the development of AI products released by Suno and Udio, influencing which songs are developed and how they function. A successful agreement could set a significant precedent for how music is utilized and artists are compensated in the emerging AI-generated music landscape, potentially unlocking a new revenue stream for WMG.
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