Major label signs licensing agreement with AI music company Klay

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Warner Music Group (WMG), Universal Music Group (UMG), and Sony Music Entertainment (SME) have signed a new licensing agreement with artificial intelligence (AI) music technology company Clay Vision, making it the first AI music startup to sign licensing agreements with all three major record companies and their publishers. In a press release, Cray says it will “harness the potential of AI to help further evolve the music experience for fans, while fully respecting the rights of artists, songwriters, and rights holders.”

Klay uses the Large Music Model, an interactive tool trained only on licensed music, to “reimagine listening.” The company says Klay is not a “prompt-based meme generation engine,” but a “new subscription product that uplifts great artists and celebrates their craft.” Clay prides himself on working with the music industry to enhance human creativity, rather than trying to replace it. Next, the company hopes to include independent labels, artists, publishers and songwriters.

In a press release, multiple parties involved in the deal, including Warner Music Group Executive Vice President and Chief Digital Officer Carletta Higginson, shared their own statements, saying, “Our goal is to always protect our artists and songwriters while strictly protecting their rights and works. “From day one, Cray has taken the right approach to the rapidly evolving world of AI by creating a comprehensive platform that expands the possibilities of art and preserves the value of music. We are grateful for the work of the Cray team.” In advancing this technology and leading to these important agreements. ”

Michael Nash, executive vice president of Universal Music Group, expressed similar sentiments last year when his company began working with Cray. “We are excited to partner with entrepreneurs like the team leading Clay to explore new opportunities and ethical solutions for artists and the broader music ecosystem, respect copyright, and advance generative AI technology in ways that have the potential to have a profound impact on human creativity,” he said. “UMG has always strived to lead the music industry in driving innovation, embracing new technology, and supporting entrepreneurship while preserving human artistry.”

“Technology is shaped by the people behind it and the people who use it,” said Ally Atti, Founder and CEO of Klay. We will continue to live by those values and bring together a growing community to reimagine the way music is shared, enjoyed and appreciated. Our goal is simple: to help people experience more of the music they love in ways never before possible.” While supporting the creation of new value for artists and songwriters, the essence of music should be human. ”

Last month, UMG and music-focused AI developer Udio reached an agreement to settle a 2024 copyright infringement lawsuit filed by UMG, SME, WMG, and the Recording Industry Association of America against Udio and Suno. At the time, UMG accused Udio of copyright infringement on an “almost unimaginable scale” and training its AI models on the label’s recordings. After lengthy back and forth, UMG and the two companies decided instead to “collaborate on innovative new commercial music creation, consumption, and streaming experiences.”

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