Warner Music Group has resolved its legal dispute with AI music generation company Suno by settling the lawsuit and forming a groundbreaking partnership. This collaboration will introduce licensed AI models that allow users to create music using the voices and likenesses of artists who opt in, ensuring compensation for creators.
The settlement was announced on Tuesday, November 25, 2025, ending a year-long legal battle that began when Warner, along with Sony Music and Universal Music Group, sued Suno and similar platform Udio for alleged copyright infringement. The deal not only drops the litigation but also establishes a joint venture focused on developing advanced AI music tools, with Warner becoming the first major label to officially partner with Suno.
Under the new partnership, Suno will launch more sophisticated and licensed AI models starting in 2026. These models will enable users to generate music based on text descriptions, but with key differences: only paid subscribers will be able to download their creations, and there will be download caps to prevent abuse. This move addresses concerns about AI-generated content flooding streaming platforms and aims to monetize the technology responsibly.
A central feature of the agreement is the opt-in system for Warner’s artists, which includes stars like Dua Lipa, Coldplay, and Ed Sheeran. Artists and songwriters retain full control over whether their names, images, likenesses, voices, and compositions are used in AI-generated music, ensuring they are compensated and protected. Warner emphasized that this ‘first-of-its-kind partnership’ opens new frontiers in music creation while safeguarding creative rights.
The lawsuit, filed in 2024, accused Suno and Udio of training their AI models on millions of songs without permission, leading to tracks that were indistinguishable from human-created music. This was part of a broader industry pushback, with over 200 artists, including Billie Eilish and Nicki Minaj, signing a letter condemning predatory AI use. The labels described the unauthorized training as ‘wholesale theft’ threatening the music ecosystem.
This settlement follows similar recent deals; Universal Music Group settled with Udio last month, and Warner itself settled with Udio just last week. However, Sony Music continues to litigate against both companies, highlighting the ongoing legal complexities in the AI music space. These developments reflect a shifting industry approach, from confrontation to collaboration, as companies seek to harness AI’s potential while addressing copyright concerns.
Suno, based in Massachusetts, has grown rapidly to 100 million users since its launch two years ago. The company recently closed a $250 million funding round, valuing it at $2.45 billion, and as part of the deal with Warner, it is acquiring Songkick, a fan engagement platform, though financial terms were not disclosed. This acquisition could enhance user experiences by integrating music creation with fan interactions.
The partnership is seen as a landmark shift, with Warner CEO Robert Kyncl describing it as a ‘victory for the creative community.’ It aims to balance innovation with artist rights, potentially setting a precedent for how major labels engage with AI technology in the future. The rollout of new features is expected to begin next year, with close monitoring of its impact on the music industry, including how it influences artist revenues and listener habits.
