AI Music Startups Suno & Udio Chase Licensing Deals Amid Industry's IP and Innovation Debate
February 26, 2026
Suno and Udio, two AI music startups, are pursuing licensing deals with major labels as the industry shifts toward collaboration amid ongoing legal battles over AI-generated music.
Voices from artists and educators, including Tift Merritt and Berklee professor Jonathan Wyner, frame the debate with concerns about IP exploitation on one side and potential creative benefits of AI on the other.
Industry figures and artist advocates call for clear licensing, transparency, and fair compensation for musicians whose work informs AI outputs.
The piece notes ongoing conversations and negotiations as of February 2026, highlighting a balance between innovation and protecting creative rights.
The narrative emphasizes the need to balance innovation with creators’ rights and indicates that talks are active around the publication date.
Leaders’ personal backgrounds and reflections on creativity, productivity, and the challenges of aligning AI with copyright law shape their approaches.
The article recalls past tensions between tech-driven music tools and traditional stakeholders, and outlines potential paths forward such as regulatory guidance, industry standards, or pilot programs.
[Note: content appears truncated in source; no substantive point to include.]
Suno and Udio are navigating a PR landscape shaped by major industry events like the Grammys and ongoing legal proceedings as they seek legitimacy within the music industry.
User experiences and business models are evolving, with early licensing deals changing access for fans and enabling interaction with licensed artists’ works.
The broader implications for creators, rights holders, and listeners are examined, including questions of authorship, attribution, and revenue sharing for AI-assisted works.
Despite initial tensions, executives from Suno and Udio express optimism about progress through licensing, partnerships, and evolving regulations ahead of major industry events.
Summary based on 39 sources
Get a daily email with more World News stories
Sources

AP News • Feb 26, 2026
AI startups Suno and Udio angered the music industry. Now they hope to join it | AP News
Economic Times • Feb 26, 2026
AI song generator startups Suno and Udio angered the music industry, now they're hoping to join it
U.S. News & World Report • Feb 26, 2026
AI Song Generator Startups Suno and Udio Angered the Music Industry. Now They're Hoping to Join It