Record Label Sues AI Start-Ups for Copyright of ABBA Songs

Major record labels such as Sony Music, Universal Music Group, and Warner Records have launched lawsuits against two artificial intelligence (AI) start-ups, Suno and Udio, alleging massive copyright infringement related to iconic songs, including ABBA classics.

The lawsuits, filed by the Recording Industry Association of America, claim that Suno and Udio have unlawfully used AI technology to mimic copyrighted music, producing works that closely resemble original recordings. The labels argue that these AI systems, rather than transforming or adding new creative elements, merely replicate existing music on a large scale.

According to the complaints filed in federal courts in Massachusetts and New York, Suno and Udio's software allegedly "ingests" copyrighted music to generate new compositions, which are then monetised without proper licensing or authorisation from the original creators. The record labels seek compensation of $150,000 per copyrighted work infringed.

The central legal issue at stake revolves around whether AI services can successfully invoke fair use principles as a defence. Should these defences falter, the potential damages under US law could pose existential threats to these AI services, thereby strengthening the resolve of record labels to pursue similar legal actions against other AI ventures in the future.

In response, Udio has asserted that its AI technology is designed to create innovative music that reflects new musical ideas, claiming that it employs advanced filters to prevent the reproduction of copyrighted materials or artists' voices. The company argues that generative AI has the potential to become a significant part of modern society, likening its machine-learning processes to how humans learn from past experiences.

The legal battle highlights growing concerns within the music industry about the ethical and legal implications of AI-generated content. Earlier this year, over 200 artists, including Billie Eilish and Nicki Minaj, voiced their objections to what they termed the "predatory" use of AI in music production, advocating for stricter regulations and protections for artists' intellectual property rights.

What Is the Defence of “Fair Use” in Copyright Infringement?

The "fair use" principle under United States copyright law allows for the limited use of copyrighted material without acquiring permission from the copyright holder. 

This doctrine recognises that certain uses, such as criticism, commentary, research, and transformative creations, can be conducted without infringing copyright. The concept of transformative use is pivotal in fair use determinations, emphasising whether the new work adds something new or alters the original work's purpose and character. 

This principle was highlighted in the landmark Google Books case, where the court found that Google's digitisation of books and display of snippets constituted fair use because it enhanced access to knowledge without competing with the market for the original books. 

The flexibility of fair use accommodates technological advancements and evolving forms of creative expression, ensuring that copyright law remains adaptable to new contexts while balancing the rights of creators and the public interest in access to information and innovation.

As technology continues to evolve, debates over AI's role in creative industries are expected to intensify. The outcome of these lawsuits could set important precedents for how AI technologies are regulated and integrated into copyright frameworks globally. The music industry's response to AI innovation will likely shape the future of artistic creation and intellectual property rights enforcement.

How Can Gerrish Legal Help?

Gerrish Legal is a dynamic digital law firm. We pride ourselves on giving high-quality and expert legal advice to our valued clients. We specialise in many aspects of digital law such as GDPR, data privacy, digital and technology law, commercial law, and intellectual property. 

We give companies the support they need to successfully and confidently run their businesses whilst complying with legal regulations without the burdens of keeping up with ever-changing digital requirements. 

We are here to help you, get in contact with us today for more information.

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