# How are AI music tools handling copyright now?

Date: 2025-07-22 · Author: Robert Scales · https://guidetoartificialintelligence.com/en/learn/ai-music-tools-handling-copyright/

**Answer:** The question is still being fought out: the three major record companies sued Suno and Udio in June 2024 for training on their recordings without permission, and in June 2025 the parties were reported to be negotiating licenses that could settle those cases. Meanwhile, what you may do with a song you generate depends mainly on the tool's terms and your plan, so read them before you publish.

AI music generators such as Suno and Udio turn a short text description, for example "an upbeat folk song about a canoe trip," into a finished track with vocals. That ease raises two separate copyright questions. The first is about the input: were these systems trained on music their makers had no right to use? The second is about the output: who owns the song you just made, and can you sell it?

Both questions are open in July 2025, but there is enough on the public record to make careful decisions.

## The lawsuits, as filed

The US music industry's trade group, the RIAA, announced on June 24, 2024, two copyright lawsuits on behalf of major record companies, including Sony Music Entertainment, UMG Recordings and Warner Records. The case against Suno, Inc. was filed in federal court in Massachusetts. The case against Uncharted Labs, Inc., the company behind Udio, was filed in federal court in New York.

The complaints allege that both services copied huge numbers of copyrighted sound recordings, across many genres and decades, to **train** their models, meaning the recordings were fed into the system so it could learn to produce similar music. The labels ask the courts for three things: a declaration that the services infringed, an order stopping future infringement, and damages for past infringement.

A central legal question is **fair use**, the US doctrine that allows some unlicensed uses of copyrighted work, such as commentary or research. The complaints argue fair use cannot apply because the services generate imitative music rather than new human expression. Groups including the Recording Academy, SAG-AFTRA and the American Federation of Musicians publicly backed the suits.

## Where things stand in July 2025

The cases have not been resolved. On June 2, 2025, TechCrunch, citing a Bloomberg report, said Universal, Warner and Sony are in talks to license their music to Suno and Udio. Such deals would set a framework for paying artists and could settle the lawsuits. The labels are reportedly seeking a small equity stake in each company and more control over how their recordings are used; the startups want freedom to experiment.

None of that is final. A license deal would change the "input" question, but it would not by itself answer every question about the songs users create.

## What the terms say about your song

For the output question, the tool's terms of service matter most. Suno's terms, last revised June 30, 2024, draw a clear line between plans:

| Plan | What you get | What you may do |
|---|---|---|
| Free or Basic | Suno does not transfer its rights in the output to you | Lawful, internal, personal, non-commercial use only, with credit to Suno |
| Pro or Premier | Suno assigns you its rights in songs made while you subscribe | Commercial use becomes possible, subject to the terms |

Two details are easy to miss. Suno states that it cannot promise copyright exists in any output at all, because of how machine learning works. And by using the service, you give Suno a broad, permanent license to the content you submit and generate, including to improve its models. You also promise that anything you upload, such as your own lyrics, is yours to use.

Udio has its own terms, which you should read in the same way before relying on them.

> **Try it:** Open the terms of the music tool you use, find the section on output ownership, and write down in one sentence what your current plan lets you do with a song made today.

## What should you check before using an AI song?

Use this checklist before a song goes on a streaming service, in an ad, a video or a client project.

| Question | Where to look | Why it matters |
|---|---|---|
| Was the song made on a paid plan, and was the subscription active that day? | Your account and billing history | Free-plan songs may be limited to non-commercial use |
| Does the plan allow commercial use? | Terms of service, ownership section | Selling or licensing may be off limits otherwise |
| Must you credit the tool? | Same section | Some plans require attribution |
| Are the lyrics yours or licensed? | Your own records | You promise the tool you hold the rights |
| Does it imitate a named artist or a specific song? | Listen critically, and compare | Close imitation invites complaints |
| Will the platform you publish to accept it? | The distributor's or platform's rules | Rules on AI music vary |
| Did you save the prompt, date and version? | Your notes | Useful if anyone questions where it came from |

Keep the answers in a short file with the track. If the song matters commercially, for instance in advertising or a release you expect to earn from, it is worth asking a lawyer who handles music rights to review it; this article reports the public filings and terms, not legal advice.

Finally, watch the news on the label talks. If licensing deals are signed, the services' terms are likely to change, and the rules for songs you make next month may differ from the ones above.

## Sources

- Record Companies Bring Landmark Cases for Responsible AI Against Suno and Udio in Boston and New York Federal Courts, Respectively: https://www.riaa.com/record-companies-bring-landmark-cases-for-responsible-ai-againstsuno-and-udio-in-boston-and-new-york-federal-courts-respectively/
- Major record labels are reportedly in licensing talks with AI firms Udio and Suno: https://techcrunch.com/2025/06/02/major-record-labels-are-reportedly-in-licensing-talks-with-ai-firms-udio-and-suno/
- Terms of Service: https://suno.com/terms