Warner Music has settled a lawsuit with the artificial intelligence startup Udio and entered into a licensing agreement, according to people familiar with the matter. This deal allows Udio to use music from Warner’s extensive catalog, which includes artists like Ed Sheeran and Madonna. Anna Nicolaou reports for the Financial Times that the agreement paves the way for a new subscription service.
Udio reportedly plans to launch the service next year, enabling users to create new songs using licensed tracks. A key condition of the deal is that Warner’s artists must explicitly opt in for their music to be included. The agreement resolves a lawsuit in which Warner Music, alongside other major labels, accused Udio of illegally using copyrighted songs to train its AI models.
This move signals a broader strategy by music companies to engage with AI technology on their own terms. Universal Music struck a similar deal with Udio last month. Warner also recently announced a partnership with Stability AI and is reportedly close to unveiling more agreements. By setting up licensing frameworks, labels aim to ensure artists are compensated, a lesson learned from the Napster era. However, many artists remain concerned that AI-generated music could devalue their work.
