The American Federation of Musicians (AFM) sues Universal Music Group (UMG) and Warner Music Group (WMG), alleging they are not compensating musicians whose performances are used in connection with AI song-generation services. According to the union, UMG and WMG have entered or benefited from licensing-related arrangements involving AI music tools such as Suno and Udio, but musicians covered by the union have not received their share of any settlement or licensing proceeds. AFM argues that the labels have “refused to provide compensation” to the musicians whose work the union says is fed into AI systems for commercial use.

Both reports frame the lawsuit as a dispute over how revenue is handled in AI-related deals and settlements, rather than a challenge to the existence of the AI partnerships themselves. The union contends it is being excluded from the compensation structure tied to the labels’ AI licensing outcomes. UMG and WMG have not been described in these reports as conceding wrongdoing, and the claims are presented as AFM’s allegations in the suit.