The AI music platform Suno has raised $250 million in a new funding round, bringing its valuation to $2.45 billion. Kristin Robinson reports for Billboard, citing an investor pitch deck that outlines the company’s rapid growth and future plans. Suno claims its users create a volume of music equivalent to Spotify’s entire catalog every two weeks.
According to the presentation, the platform’s user base, which is primarily male and aged 25 to 34, generates approximately 7 million songs daily. Suno’s vision is to become an all-in-one app where users can create, stream, and share music. The company projects it will reach $1 billion in revenue by 2028, with a long-term goal of becoming a $500 billion company.
This growth occurs amid significant legal challenges. The three major music companies, Sony, Universal, and Warner, are suing Suno for $500 million, alleging widespread copyright infringement for training its AI model. The pitch deck reportedly makes no mention of the lawsuits or any plans for licensing content.
Suno will allocate 30% of the new funding to computing power, its largest expense. The company claims to have 1 million subscribers, with a 30-day retention rate of approximately 25% for paying users.
