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Universal Music Group (UMG) has reached a settlement with artificial intelligence company Udio, marking the end of a major copyright infringement lawsuit and the beginning of a new partnership. The two companies announced plans to co-develop a generative AI music platform, set to debut next year, that will use authorized and licensed music to create innovative tools for artists and fans.
The collaboration represents a significant shift in the music industry’s relationship with AI technology. UMG Chairman Sir Lucian Grainge emphasized that the deal reflects the company’s dedication to protecting artists and songwriters while embracing innovation. “These agreements demonstrate our commitment to doing what’s right by our artists and songwriters, whether that means embracing new technologies, developing new business models, or diversifying revenue streams,” Grainge said.
Udio CEO Andrew Sanchez echoed this sentiment, noting that the partnership aims to shape the future of music creation and engagement. “We’re building the technological and business landscape that will fundamentally expand what’s possible in music creation,” he said.
The settlement follows a 2024 lawsuit in which major record labels—Universal Music Group, Sony Music, and Warner Records—accused Udio and another AI company, Suno, of using copyrighted recordings without permission to train music-generating AI models. The labels claimed the companies copied hundreds of songs from top artists, including Taylor Swift, BTS, Ariana Grande, Sabrina Carpenter, and Lady Gaga, potentially threatening human artistry. Both Udio and Suno defended their actions as “fair use” under U.S. copyright law, calling the suits an attempt to stifle independent innovation.
While Sony and Warner’s cases against Udio, and all three labels’ cases against Suno, remain ongoing, UMG’s partnership with Udio marks a pivotal moment in bridging music and artificial intelligence responsibly.
