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The American Federation of Musicians is suing major record companies Universal Music Group and Warner Music Group over the labels’ recent moves to settle their lawsuits with AI music generators Suno and Udio, arguing that the settlements’ benefits aren’t reaching the musicians themselves.
“While the Defendants protected their own interests and created a significant source of new revenue with the retrospective settlements and prospective licenses, they have refused to compensate the musicians whose work – created with their own instruments and through their talent, creativity, and hard work – is fed into AI machines for profit,” the AFM said in the complaint filed in federal court on Friday.
The AFM’s lawsuit comes months after UMG and WMG reached settlements with Udio and Suno last fall. UMG, the world’s largest music company, struck the first deal, announcing a settlement and partnership with Udio in late October of 2025. WMG came after, announcing a partnership of its own with Udio in mid-November. Weeks after that, WMG became the first (and so far the only) major label to settle with Suno.
The “big three” record companies, which includes Sony Music Group alongside UMG and WMG, first sued Suno and Udio in 2024, accusing that the AI music generators of massive copyright infringement by training their models on thousands of iconic songs without permission. Sony is the lone major music company that hasn’t settled with either AI company.
