10:42 AM EDT, 06/02/2025 (MT Newswires) -- Warner Music Group ( WMG ) , Sony Group's ( SONY ) Sony Music, and Universal Music Group are in talks with artificial intelligence startups Udio and Suno to license their music catalogs, a move that could establish how artists are compensated for the use of their work by AI companies, Bloomberg reported Monday, citing people familiar with the discussions.

The major labels are seeking licensing fees and minority stakes in the startups, which use generative AI to provide songs based on user prompts, Bloomberg said, adding that the outcome of the talks could help resolve ongoing lawsuits over alleged copyright infringement.

The negotiations are unfolding in parallel as both sides seek to avoid prolonged legal battles, with music companies pushing for greater control over their content and Udio and Suno advocating for flexible, startup-friendly terms, the report said.

Udio and Suno didn't respond to requests for comment, while the three music companies declined Bloomberg's comment requests.

All companies didn't immediately respond to MT Newswires' requests for comment.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

Price: 26.01, Change: -0.31, Percent Change: -1.18