The Munich Regional Court ruled on Friday that Suno AI, a US-based company, which generates songs from text prompts. has violated copyrights and has to disclose illicit revenues.

The lawsuit initiated in January 2025 by GEMA, Germany's state-mandated licensing agency, argued that Suno trained its AI models on copyrighted music without obtaining licences or compensating its rights holders.

According to the ‌verdict, Suno will have to pay damages that have yet to be quantified. Suno has disagreed with the ruling and said it would evaluate all available options, including an appeal.

"This is a verdict of global significance," Gema CEO Tobias Holzmueller told Reuters.

A closely watched case