Universal Music settles Udio copyright suit and signs licensing deal for AI music platform

What happened

On 29 October 2025 Universal Music Group and Udio announced they had settled UMG's copyright infringement litigation against the AI music platform and signed licence agreements covering UMG's recorded music and publishing catalogues. The companies described the agreements as "industry-first strategic agreements". The settlement includes a compensatory payment whose amount was not disclosed.

The new platform

The companies said they will collaborate on a subscription music creation, consumption and streaming service launching in 2026, powered by new generative AI technology trained only on authorised and licensed music. Users will be able to customise, stream and share music inside what the companies call a licensed and protected environment. Udio's existing product remains available during the transition, with fingerprinting, filtering and other measures added.

Context

The RIAA, acting for UMG, Sony Music and Warner Music Group, sued Udio and Suno in June 2024 alleging mass infringement of copyrighted recordings used to train their models. This was the first of those suits to settle. Warner Music Group reached its own settlement and licensing deal with Udio on 19 November 2025. In June 2026 the American Federation of Musicians sued UMG and Warner alleging recordings by its members were licensed to Suno and Udio without compensation or credit; that suit is covered separately.