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AI Firm Udio Angers Users as Universal Deal Restricts Songs

Universal Music Group headquarters in Santa Monica, California.

Photographer: Bing Guan/Bloomberg

Udio, an artificial intelligence startup, triggered an angry backlash from subscribers after signing an agreement with Universal Music Group NV that restricts their use of the tracks they create.

The accord settles a copyright lawsuit between the companies. With the deal, AI music creations by Udio subscribers stay on the Udio app, according to a statementBloomberg Terminal. The songs can’t be uploaded to streaming services or used in personal content.