Universal Music and Sony Music filed an amended complaint against Suno on Tuesday, adding a new allegation that the AI music company illegally "stream-ripped" copyrighted recordings off YouTube to build its training data. [1] The filing follows an August ruling by Judge F. Dennis Saylor IV, who granted the labels permission to add the stream-ripping claim while denying a separate request to expand the case from 560 named tracks to more than 61,000, a change that would have raised the lawsuit's theoretical damages ceiling from roughly $84 million to more than $9 billion. [1]
This paper covered the same dispute Wednesday, reporting that Universal, Sony and Warner had joined a $76 million funding round for Stability AI, a Suno rival, two days before the labels moved to strengthen their case against Suno itself. That story argued the labels' litigation and their investment told the same story: not opposition to AI-generated music, but insistence that the training data behind it be licensed rather than scraped. Tuesday's amended complaint sharpens that argument with a specific legal mechanism, and Complete Music Update's coverage of the filing spells out exactly what that mechanism is built to do.
The stream-ripping claim matters less for its own merits than for what it unlocks elsewhere in the case. Universal and Sony are relying on the precedent set when a court found Anthropic's AI training qualified as fair use — but only because Anthropic started with legitimately acquired copies of the books it trained on. Anthropic had not done that consistently, having relied in part on pirated ebooks, a fact that produced a $1.5 billion settlement with authors. [2] Universal and Sony's legal team is betting the same logic applies to music: if they can show Suno's training data began with illegally ripped YouTube audio, Suno's fair-use defense becomes far harder to sustain, regardless of what happens with the rest of the case. [2]
Complete Music Update's reporting is explicit that the majors are not chiefly optimizing for a courtroom verdict. "The hope being that, with stronger legal arguments and a potential $9 billion damages bill, Suno would be much more likely to settle the case and to enter into licensing deals with the two majors, which will likely involve the AI company making various changes to its business model," the outlet reported, describing the labels' own stated strategy rather than speculating about it. [1] Saylor's ruling capped the theoretical damages at roughly $84 million by rejecting the 61,000-track expansion, but the judge left the door open for a second lawsuit covering the additional works, noting that when a different judge rejected a similar expansion in Sony's parallel case against Suno rival Udio, Sony simply filed again. [1] The stream-ripping claim, even scoped to 560 tracks, is doing the work the majors need: making Suno's legal exposure large enough, and its fair-use defense weak enough, to make settling on Universal and Sony's terms the rational move.
What neither the amended complaint nor Complete Music Update's coverage of it addresses is where that leaves songwriters and performers whose recordings Suno is accused of ripping in the first place. A licensing deal negotiated between Universal, Sony and Suno resolves the majors' claim to be paid for their catalogs; it does not automatically flow through to the individual songwriters and session musicians whose work sits inside those catalogs, unless their existing contracts already specify how AI-licensing revenue gets split. The same dynamic appeared in Wednesday's coverage of the labels' Stability AI investment: Universal, Sony and Warner secured board seats and licensing input at Stability AI, institutional access available to companies with existing catalog relationships, not to individual artists suing Suno without a label deal behind them.
That gap is where the frame in most coverage of the amended complaint, artists suing to stop AI music theft, comes apart under its own facts. Universal and Sony are not suing to stop Suno from existing. They are suing to make continuing to exist expensive enough that licensing on the majors' terms becomes Suno's most rational option, and Saylor's stream-ripping ruling this week handed them the legal lever to make that happen faster. The settlement that results, if one does, will most likely be negotiated between two companies with hundreds of millions of dollars in litigation budget and existing relationships with each other, over the training data of recordings made by songwriters who are watching the case from outside it, the same position Tony Justice, the independent country artist and truck driver whose companion class-action suit against Suno this paper covered Thursday, occupies without a settlement of his own in sight.
-- CAMILLE BEAUMONT, Los Angeles