Suno faces investigation in Italy over terms of service

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Italy‘s competition authority has opened an investigation into Suno‘s terms of service.

The Italian Competition Authority (AGCM) said on Tuesday (October 6) that the AI music company’s terms “may be unfair pursuant to Article 33 of the Consumer Code” because they “may create a significant imbalance in the rights and obligations under the contract, to the detriment of consumers.”

The AGCM‘s concerns include price changes, account terminations, US-based arbitration, and a content license that it says requires users to waive their moral rights.

The terms “seem to give Suno broad discretion to make unilateral changes to the contract, the service and the subscription prices, without having to provide any justification,” the authority said.

They also “appear to allow the company to suspend, discontinue or terminate user accounts – as well as any associated content – at any time, for any reason and without prior notice,” according to the AGCM.

The AGCM said users also appear to be bound by additional terms that they cannot directly access before they sign up.

The terms also “appear to limit the company’s liability in very broad and generic terms, including in relation to personal injury,” the AGCM added.

The AGCM said that “the contractual provisions on copyright deserve particular attention.”

“The scope of the license imposed on consumers as a condition for using the platform services seems to be insufficiently defined, as it is framed in generic and all-encompassing terms, and imposes the waiver of moral rights contrary to Articles 20 et seq. of Law 633/1941,” the AGCM said.

Law 633/1941 is Italy’s copyright statute.

“The scope of the license imposed on consumers as a condition for using the platform services seems to be insufficiently defined, as it is framed in generic and all-encompassing terms, and imposes the waiver of moral rights.”

Italian Competition Authority

On disputes, the AGCM said the terms “appear to require consumers to pursue claims through binding individual arbitration administered in the United States, subject to tight deadlines for doing so and a waiver of class actions.”

The terms also “seemingly establish the exclusive jurisdiction of the Commonwealth of Massachusetts,” the regulator added.

The AGCM said it will open a public consultation on Suno‘s terms on the authority’s website “over the next few weeks.”

The consultation will be open to trade associations representing traders at the national level, to chambers of commerce affected by the terms under investigation, and to consumer associations recognized at the national level, according to the AGCM.

The authority’s powers to fine companies over unfair contract terms date from 2023, with penalties ranging between EUR €5,000 and €10 million, according to its website.

MBW has reached out to Suno for comment.

The AGCM did not say which version of Suno‘s terms it had examined.

Suno‘s current terms of service took effect on September 3.

The company published them on August 10, alongside new monthly download caps for paying subscribers.

The current version states that Suno users “irrevocably waive any and all so-called ‘moral rights’ or ‘droit moral’ that may exist in or in connection with the Content or your Voice Model.”

It also says Suno may suspend or terminate accounts “for any reason in Suno’s sole discretion.”

The terms add that “the state and federal courts in Massachusetts shall have exclusive jurisdiction” over disputes that are not subject to arbitration.

They also grant Suno a “perpetual, irrevocable” license over “any and all Content,” a category that covers both what users submit and the output generated from it.

Suno said last month that its v6 models were trained in part on “interactions including creations and preference signals” from its community.

It made that statement in response to a second copyright lawsuit filed against it by Universal Music Group and Sony Music Entertainment in Boston on September 18.

Warner Music Group, which sued Suno alongside UMG and Sony in June 2024, settled in November 2025.

WMG is now one of Suno‘s v6 partners, alongside BMG and Believe.

In Europe, Suno lost a copyright case brought by German collecting society GEMA at the Munich Regional Court on July 31.

Suno said at the time that it disagreed with the ruling and was “evaluating all available options, including an appeal.”

Denmark’s collecting society Koda sued Suno in Copenhagen in November 2025.

Suno raised over USD $400 million in a Series D funding round in June that valued the company at $5.4 billion.

The company says it has raised over $775 million in total, from investors including Bond Capital, Menlo Ventures, Lightspeed, Matrix, IVP, Union Square Ventures, and NVentures, NVIDIA‘s venture capital arm.

The company said in February that it had passed 2 million paid subscribers and $300 million in annual recurring revenue, and that more than 100 million people had used its platform.

Co-founder and CEO Mikey Shulman said at Bloomberg‘s Screentime conference on Thursday (October 1) that Suno had since moved past the subscriber and revenue figures, without giving new numbers.

“The last stats that we released were 2 million subscribers, $300 million in revenue,” said Shulman. “We are far beyond that by now.”Music Business Worldwide