Warner Music strikes licensing deal with AI start-up Udio following infringement settlement

The entertainment conglomerate insists that the agreement will “create new revenue streams for artists and songwriters”

Warner Music Group (WMG) has struck a licensing deal with AI music start-up Udio following a lawsuit that saw the music giant – along with Universal Music Group and Sony Music Entertainment – sue for its use of copyrighted music.

Calling it a “landmark agreement that resolves the companies’ copyright infringement litigation”, WMG announced the news yesterday, November 19, revealing that it will now work alongside the start-up to develop a “licensed AI music creation service”.

The service, set to launch in 2026, will allow fans to make AI-generated music using licensed tracks. Artists would need to opt in for their music to be used in the service, Udio's FAQs claim.

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“Through this collaboration, Udio will develop a next-generation music creation, listening, and discovery platform powered by generative AI models trained on licensed and authorised music,” WMG said in a statement.

Just last year, WMG sued Udio and rival AI music company Suno for “mass infringement”, alleging that they were illegally using copyrighted music releases to train AI models.

WMG insists that the agreement will “create new revenue streams for artists and songwriters”, but has yet to reveal how musicians will be paid through the service.

Read this next: 97% of people “can’t tell the difference” between AI and human-made music, study finds

It’s not the first time WMG has dabbled in the world of artificial intelligence of late – in October, the music giant partnered with Spotify to develop AI music products. 

At the time, Spotify argued: “If the music industry doesn’t lead in this moment, AI-powered innovation will happen elsewhere, without rights, consent, or compensation – we are making significant investments in AI research and product development.”

Just an hour before news landed of WMG's deal with Udio, they announced another new partnership with AI music tool Stability AI, while another deal with AI music service Klay is expected to be announced today, per The Financial Times.

Gemma Ross is Mixmag's Associate Digital Editor, follow her on Twitter

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