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5 Reasons Why AI Licensing Deals Between Major Labels and Suno and Udio Will Be Hard to Pull Off

The major labels are negotiating with AI firms Suno and Udio over licensing music to the AI training platforms. The deals are tougher than they seem.

If the deals go through, they could help settle the major music companies’ massive copyright infringement lawsuit against Suno and Udio, filed last summer. Many experts feel that the best way to remunerate music companies and their artists and songwriters is to base any payouts on how often their work is used in producing the outputs of the AI model. Plus, Mike Pelczynski, founder of music tech advisory firm Forms and Shapes and former head of strategy for SoundCloud, wrote in a blog post that “flat-fee deals offer upfront payments but limit long-term remuneration.

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