Universal Music Group, Sony Music Entertainment, and digital music distributor DistroKid told a Manhattan federal court they are working on a resolution in an escalating dispute over AI-generated music data, musicbusinessworldwide.com reported.
The Manhattan Federal Court Filing and the November 6 Deadline
The update emerged in a joint filing approved by US District Judge Arun Subramanian. Lawyers for both sides signed the document, granting DistroKid until November 6 to respond to the labels’ request for a court order compelling the handover of internal data.
UMG, Sony Sue DistroKid to Reveal Scale of Suno and AI Musichttps://t.co/cwCMCu3yB0https://t.co/cwCMCu3yB0
The filing does not state what a final resolution would involve or whether DistroKid will ultimately yield the requested documentation. The dispute centers on how many tracks delivered to streaming services are flagged as AI-generated and how many of those recordings trace back to Suno.
Subpoenas, Prediction Models, and the Massachusetts Copyright Lawsuit
Universal Music Group and Sony initiated the subpoena process in September to gather evidentiary material for their ongoing copyright infringement lawsuit against Suno in a federal court in Massachusetts. The major labels argue that DistroKid data is necessary to prove the market impact of AI-generated music. DistroKid distributes 30 to 40 percent of all new music globally.
Under the proposed court order, DistroKid would have to produce monthly figures dating back to its implementation of a third-party prediction model used to test tracks. These figures would outline total deliveries, test volumes, and scores indicating whether a recording is likely AI-generated in whole or in part.
The labels also demand total streaming counts and royalties generated by those flagged recordings, alongside the specific name and vendor of the prediction model used. DistroKid previously argued in a response to the subpoena that the data bears little relevance to whether Suno acted unlawfully during model training.
Meanwhile, litigation branches out across multiple jurisdictions. UMG filed a separate lawsuit against DistroKid in Delaware federal court on September 15, alleging copyright infringement and deceptive trade practices. DistroKid has until December 4 to respond to that complaint.
Legal Exposure and Investor Subpoenas
The financial stakes remain exceptionally high. UMG and Sony filed a second lawsuit against Suno on September 18, accusing the company of copying 60,202 recordings without a license. Statutory damages reach up to $150,000 for each willfully infringed recording under federal law.
In the Delaware action, UMG’s complaint lists 1,000 specific recordings, establishing a theoretical damages ceiling of $150 million, though the total figure is not specified. Amanda Ferri, DistroKid’s VP of Artist Services, confirmed that a small number of recordings have been removed following UMG’s claims, noting that the company strongly disputes the underlying allegations.
Simultaneously, courts are probing venture capital backers. A federal court in Massachusetts cleared the major labels to question C.C. Gong, a former Principal at Menlo Ventures, under oath regarding a deleted social media post about shifting listening habits to Suno.
