In a flurry of activity just hours before the company’s third-quarter earnings report on Thursday, Universal Music Group announced that it has settled its copyright-infringement litigation against the AI music platform Udio , and that it also has entered into a strategic alliance with Stability AI to develop “next-generation professional music creation tools.”

The announcements arrive against a backdrop of complex legal disputes over whether AI companies can “train” their products on copyrighted music without authorization. Last year, the RIAA, acting on behalf of all three major record companies, sued Udio and the Suno platform for “mass infringement” of copyright; the majors’ legal action against Suno continues.

At a time when music companies’ revenue from streaming is leveling

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