(Bloomberg) – Major Music Companies are in Talks to License their work to artificial intelligence startups udio and suno, deals that would establish a framework for how ai companesate recording Artists for their work, according to people familyiar with the discussions.
Universal Music Group, Warner Music Group and Sony Music Entertainment are pushing to collect license fees for their work and also receive a small amnt of equity in Suno and Udio, TWO LEDERS AMONG A CROP of Companies that use generative ai to help make music. Any Deal Would Help Settle Lawsuits Between The People Sides, said the people, who Deccline to be identified by the talks group next.
UDIO and Suno enable aspiring music creaters to type in a prompt that describes a sound or song like “a modern country ballad about unrequited love” and Receive an audio recording in repaying. The companies must train their software on datasets made up of millions of individual pieces of information. That means a lot of music.
The Major Music Companies Sure UDIO and Suno Last Year Accusing Them of Copyright Infringement. The recording Industry Association of America, A Trade Group for Record Labels, Sought as Much as $ 150,000 per work infringed, which would results of dollars.
The music companies and the ai startups are talking to The negotiations are happying in parallel, creating a race of sorts to see which ai company and label will strike a deal first. The talks are complicated if the labels are pushing for green control over the use of their work, while udio and suno are seeking flexibility to experiment and want deals at a perice for StartPle For Start Companies.
Udio and Suno Didn’t Respond to requests for comment. The three music companies declined to comment.
UDIO GOT $ 10 Million Last Year from a group of investors that included venture capital firm andressen horowitz, while suno raised $ 125 million in a round that included lightSpeed ventners.
AI companies have battled Major Media Companies Over Whinder They Need to Pay to Train Their Large Language Models on copyrighted work. They’ve argued that the training is covered underfire use, While Rights Holders Say they they must be compensated. The New York Times Co. Sued Openai, which has struruck licensing deals with companies
The music industry has wrestled with how the best to the risk of ai technology. Industry sales have grown over the last decade, but have yet to full recover from the damage ourgt in the early days of the internet, when file sharing sites and Piracy Decimated sales. Record companies have battled every new technology, from file-sharing to user-generated content to streaming. But streaming services such as spotify technology sa has helped revive the industry.
The industry has expressed a desire to protect its copyrights while leaning into new technology.
“The music communication has embraced AI, and we are already partnering and collaborating with responsible developments Charge, “Mitch glazier, Chief Executive Officer of the Riaa, said it filled the suit. “But we can only successed if developers are willing to work togetra with us.”
-With assistance from rachel metz.
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