Licensing Negotiations Between Suno and Major Labels Have Stalled

According to Financial Times, Suno, the biggest player in AI music, is making little to no headway on licensing agreements with the major labels. Suno signed a deal with Warner Music Group (WMG) last year, but is still negotiating with Sony Music Entertainment and Universal Music Group (UMG).

Background:

• The Financial Times report cited anonymous sources who are “familiar with the matter” and “involved in the negotiations.”

• The article says that despite Suno and WMG having a deal, there hasn’t been much progress in any meaningful policy.

• UMG and Sony are apparently not close to reaching a similar deal with Suno.

• Suno told Financial Times: “We want to work cooperatively with the music industry to unlock new sources of revenue for artists.”

Why it matters:

• Suno is the primary force in AI music.

• If the majors are unable to reach a deal, then the policies on royalty payments for using copyrighted works in AI training will remain in limbo.

• Artists will very likely be exploited by Suno without clear policies.

• The Verge just reported that Suno’s current copyright restrictions can be easily bypassed.

What’s happening:

• Opposition against AI in the arts is mounting.

• The UK recently reversed its position on allowing AI companies to use copyrighted works for training.

• A collective of industry professionals specifically targeted Suno with the “Say No To Suno” campaign.