Universal Music Group reaches settlement with AI startup Udio

Universal Music Group said Wednesday it has reached licensing agreements with artificial intelligence music startup Udio, settling a lawsuit that had accused Udio of using copyrighted music to train its AI.

- BY WENDY LEE

UNIVERSAL accused Udio of using hits like the Temptations' “My Girl,” which it has the copyright to.

(MICHAEL BLACKSHIRE Los Angeles Times)

Users create music using Udio’s AI, which can compose original songs — including voices and instruments — from text prompts.

Udio has agreed with UMG to launch a new platform next year that is only trained on “authorized and licensed music,” and will let users customize, stream and share music.

“These new agreements with Udio demonstrate our commitment to do what's right by our artists and songwriters, whether that means embracing new technologies, developing new business models, diversifying revenue streams or beyond,” Lucian Grainge, UMG’s chairman and chief executive, said in a statement.

Udio declined to disclose the financial terms of the settlement and licensing agreements. UMG did not immediately return a request for comment on the terms.

Artificial intelligence has brought new opportunities as well as challenges to the entertainment industry, as AI startups have been training their models on information on the internet, which entertainment companies say infringes on their copyrighted work.