Warner Music Group Settles Lawsuit With AI Startup Suno, Launches Joint Venture

Settles Lawsuit With AI Startup Suno, Launches Joint Venture
LAGOS – In a dramatic pivot from courtroom adversaries to business partners, Warner Music Group (WMG) has announced it has settled its copyright lawsuit against the AI music generator Suno. As part of the resolution, the two companies are launching a "first-of-its-kind" joint venture to create licensed AI music tools that compensate artists.

The agreement brings an end to a high-profile legal battle that began last year when WMG, alongside other industry giants like Sony and Universal, sued Suno and its rival Udio for "mass infringement," accusing them of stealing copyrighted songs to train their AI models.

Turning "Theft" Into Revenue
Under the new partnership, Suno will fundamentally overhaul its platform to operate as a licensed service. The deal introduces a new system where WMG artists can opt-in to allow the AI to use their names, voices, likenesses, and songwriting styles.

In exchange, these artists will be compensated when users generate new tracks using their digital personas.

"This landmark pact with Suno is a victory for the creative community that benefits everyone," said Robert Kyncl, CEO of Warner Music Group. "We've seized this opportunity to shape models that expand revenue and deliver new fan experiences."

New Rules for AI Music in 2026
The partnership will result in significant changes to how the Suno platform operates, which are expected to roll out in 2026:

Licensed Models: Suno will launch new, advanced AI models trained specifically on licensed content.

Download Restrictions: To protect the value of the music, users on Suno's "free tier" will no longer be able to download the songs they generate; they will only be able to stream and share them. Only paid subscribers will be able to download audio files, and even they will face monthly caps.

Suno Acquires Songkick
In a surprising twist revealed as part of the settlement, Suno has acquired Songkick, the live music and concert discovery platform, from Warner Music Group.

Suno plans to operate Songkick as an independent brand but will leverage it to build deeper connections between AI creators and real-world music events. Suno CEO Mikey Shulman stated the goal is to "change the place of music in the world by making it more valuable to billions of people."

This settlement follows a similar move by Universal Music Group, which recently settled with rival AI firm Udio, signaling a rapid industry-wide shift where record labels are rushing to monetize, rather than ban, generative AI.