German Court Rules Suno Must License Music for AI Training

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A German court ruled on July 31, 2026, that Suno, a U.S.-based AI music platform, violated copyright law by using GEMA-represented music for AI training without proper licenses. The Munich Regional Court rejected Suno’s fair use claims and ordered the company to disclose revenues tied to the infringement. GEMA, which represents over 95,000 German songwriters and 2 million global rights holders, provided evidence that tens of thousands of protected works were used in Suno’s training pipeline. The ruling adds pressure on AI firms operating in CFT-sensitive sectors and could impact liquidity in crypto markets tied to AI-driven assets.

A German court just handed the music industry one of its most consequential wins against AI. The Munich Regional Court ruled on July 31, 2026, that Suno, the US-based AI music platform, violated copyright law by using music represented by GEMA, Germany’s largest performing rights organization, to train its generative models without proper licenses.

The ruling means Suno must now disclose revenues linked to the infringement so damages can be calculated.

What happened in Munich

GEMA filed the lawsuit back in January 2025, targeting Suno’s use of specific copyrighted tracks during the training process. The songs in question weren’t obscure deep cuts. We’re talking about “Forever Young” by Alphaville and “Mambo No. 5” by Lou Bega.

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The court found that Suno had copied and “internalized” copyrighted music during its model training. The AI ingested the actual copyrighted recordings to learn how to generate new music, and the court decided that crosses a legal line.

Suno tried several defensive arguments. It challenged the court’s jurisdiction, argued fair use principles, and claimed its output was transformative enough to sidestep copyright restrictions. The Munich court rejected all of those defenses.

GEMA represents roughly 95,000 German songwriters and more than 2 million rights holders globally. The organization presented evidence showing that tens of thousands of protected works were used in Suno’s training pipeline.

A pattern of legal trouble for Suno

Germany isn’t Suno’s first courtroom. The company has faced class action lawsuits in the US over similar allegations, and it previously reached a settlement with Warner Music Group.

This is one of the first major European court rulings addressing whether AI companies need licenses to train on copyrighted creative works. The court ordered Suno to open its books and disclose how much revenue is connected to the infringing activity, which means the damages will scale with how much money Suno made using those copyrighted inputs.

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