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Music publishers strike AI licensing deals with Udio and KLAY as NMPA reveals ‘landmark’ industry-wide pacts

GenevaTimes by GenevaTimes
June 11, 2026
in Business
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Music publishers strike AI licensing deals with Udio and KLAY as NMPA reveals ‘landmark’ industry-wide pacts
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The National Music Publishers’ Association has agreed an industry-wide AI licensing deal with the AI music platform Udio.

NMPA President and CEO David Israelite announced the deal on Wednesday (June 10) at the trade body’s annual meeting in New York, where he also unveiled an agreement in principle with a second AI music platform, KLAY.

Israelite said the Udio agreement is the first industry-wide licensing deal struck with a major AI music company, and the first to “value songs and sound recordings equally” when it comes to AI training.

“Today, we are announcing the first-ever industry-wide licensing deal with a major AI music company,” Israelite said.

The equal valuation of compositions and recordings was, Israelite said, something the NMPA had “always demanded.”

“Songs are just as important, if not more, than sound recordings when it comes to AI training,” Israelite said.

“Songs are just as important, if not more, than sound recordings when it comes to AI training.”

David Israelite, NMPA

Israelite described Udio as a platform that “allows people to reimagine music using the distinct styles of songwriters and artists.”

“To do this, Udio accepted that it needs permission from publishers and labels,” he said.

“And they’ve come to the table to bring creators in as business partners. As it should be,” Israelite said.

NMPA members in good standing will be able to review and join the Udio deal from Monday (June 15), with the company set to contact members directly in the coming weeks.

Israelite thanked Udio co-founder and CEO Andrew Sanchez, who attended the meeting.

The second agreement, reached in principle, is with KLAY, which Israelite described as a platform that “reimagines listening with immersive, interactive tools powered by their large music model, trained entirely on licensed music.”

“What is special about KLAY is that it is securing licenses before launching its platform,” Israelite said. “We all know how rare that is in our business, where too often people ask for forgiveness instead of permission.”

The KLAY deal is set to launch later this summer, with NMPA members in good standing to receive instructions on how to join, said Israelite.

Israelite thanked KLAY founder and CEO Ary Attie and co-founder Thomas Hesse, who also attended.

KLAY had already signed licensing deals with all three major music companies in November 2025.

The NMPA deal lands as Udio completes a shift from copyright defendant to licensed industry partner.

In June 2024, the RIAA, on behalf of Universal Music Group, Sony Music and Warner Music Group, sued Udio and rival platform Suno for “mass infringement” of copyright.

That litigation began to unwind in October 2025, when Universal Music Group settled its case and agreed to build a licensed AI music platform with Udio.

Warner Music Group settled in November 2025, followed by independent licensing body Merlin in January 2026 and publisher Kobalt in April 2026.

Sony Music remains the only major music company yet to reach a deal with Udio, and its portion of the RIAA-led case is ongoing.

Israelite said the deals sit alongside the NMPA‘s continued litigation against AI companies it regards as bad actors.

“Litigating against bad AI actors and licensing good AI partners is not in conflict,” he said. “NMPA will do both.”

“Litigating against bad AI actors and licensing good AI partners is not in conflict… And for companies that don’t take this approach, you know it’s coming.”

David Israelite, NMPA

“And for companies that don’t take this approach, you know it’s coming,” Israelite added.

That readiness to litigate was underscored earlier in the meeting by Danielle Aguirre, the NMPA‘s Chief Legal Officer and Chief Operating Officer.

“And we will litigate to fight for the fair rates and statutory protections that you deserve,” Aguirre said.

Aguirre was referring in part to the Copyright Royalty Board proceeding that began in January and will set US mechanical streaming rates for the 2028–2032 period.

Israelite also used the meeting to warn that AI is amplifying streaming fraud.

He said Apple Music found around two billion fraudulent streams on its platform in 2025.

He also pointed to Deezer, which reported in January that 60,000 fully AI-generated tracks are uploaded to its platform each day, rising to 75,000 by April.

Israelite called streaming fraud “a national security issue,” citing concern that fake streams are being used to launder money for organized crime.

“Great music will never be mass produced by machines. We are here to fight for what makes art meaningful – authentic human inspiration.”

David Israelite, NMPA

To address the threat, Israelite announced an inaugural AI Songs Summit, to be held in Nashville in September.

The Nashville gathering will bring together publishers, performing rights organizations and songwriter groups to set best practices on fraud and the “malicious use of AI,” with digital services also invited.

“The challenges posed by AI are massive and evolving. However, we are taking a holistic approach to confronting them… great music will never be mass produced by machines. We are here to fight for what makes art meaningful – authentic human inspiration,” Israelite said.Music Business Worldwide

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