Major record labels Sony Music, Universal Music Group, and Warner Records have filed lawsuits against AI start-ups Suno and Udio, accusing them of extensive copyright infringement. These companies allegedly created music by mimicking existing copyrighted material, prompting the record labels to seek $150,000 in compensation per infringed work.

Suno and Udio are under scrutiny for using AI to generate music that closely resembles existing songs. The record labels argue that these platforms have unlawfully copied their music catalogues, challenging the legitimacy of AI-generated content. The Recording Industry Association of America has taken a strong stance, indicating a broader conflict between traditional music rights and emerging AI technologies.

1. Suno: Operating out of Massachusetts, Suno launched its first product last year and quickly gained a user base exceeding 10 million. The company offers its AI music creation tool through a subscription model and has received $125 million in funding, partly due to its partnership with Microsoft.
   
2. Udio (Uncharted Labs): New York-based Udio gained prominence with a parody track during the Kendrick Lamar-Drake feud. Supported by investors like Andreessen Horowitz, Udio claims its AI generates music based on new ideas without infringing on existing copyrights¹.

AI firms like Suno and Udio argue that their activities fall under the fair use doctrine, which allows certain uses of copyrighted works without a license. They liken their AI learning processes to human learning, which involves exposure to previous works. However, the record labels assert that these companies are simply profiting from direct copies of songs without any transformative purpose.

The lawsuits, filed in federal courts in Massachusetts and New York, highlight specific songs allegedly reproduced by Suno and Udio. Examples include tracks like “Prancing Queen,” which sounds remarkably similar to ABBA’s original recordings, as well as Mariah Carey’s “All I Want for Christmas Is You” and The Temptations’ “My Girl”.

As this legal case progresses, the music industry faces the challenge of defining the boundaries of AI-generated content. Udio has pledged to refine its filters to avoid copyright infringement, but the record labels are determined to protect their intellectual property. The outcome of this case will likely have significant implications for the future of AI in music creation and the protection of artists’ rights.