AI music company Udio is standing by its argument that training its model on copyrighted recordings qualifies as fair use, in response to a lawsuit filed by Sony Music Entertainment and nine affiliated labels. The suit, filed July 20, covers more than 30,000 recordings that the same court had previously declined to fold into Sony’s existing case against Udio.
In its filing, Udio maintains that its use of the recordings was “quintessential fair use,” but argues that even if a court finds infringement occurred, damages should be minimal, as low as $200 per work. That figure is far below the maximum statutory damages available under U.S. copyright law, which can reach $150,000 per work for willful infringement.
The case adds to the mounting legal pressure on AI music generators from major labels, with the outcome likely to shape how courts weigh fair-use defenses and set damages benchmarks for AI training disputes across the industry.
Read the full story at Music Business Worldwide.