Suno, an AI music generation platform, pocketed $400 million in its latest funding round, which the company says values the company at $5.4 billion.
The funding round, announced Wednesday, was led by Bond Capital, with IVP, Forerunner, Union Square Ventures, Alkeon Capital Management and Quiet joining the mix. Previous investors who joined the Series D funding round include Matrix, Lightspeed, Menlo Ventures and Schroders Capital, Suno CEO Mikey Shulman wrote in a blog post.
The funding more than doubles the company’s $2.45 billion valuation it reached in November 2025 following a $250 million funding round. It also comes after a changing tide in its relationship with the music industry. Warner Music Group, Universal Music Group and Sony Music Entertainment sued Suno (and its competitor Udio) in 2024 for copyright infringement. WMG settled its case with Suno last November and announced a licensing partnership with the platform, Suno’s first partnership with a major record label.
UMG and Sony remain in active litigation against Suno (although UMG settled its case with Udio last fall and announced a partnership with Stability AI).
“We’ve seen Suno used by professional producers and songwriters, but also by millions of people making music for the first time — because music creation is no longer the domain of a niche few,” Shulman wrote. “It is becoming one of the most human things we do, a way people communicate, remember, and connect. What started as a simple idea has grown far beyond what we imagined, and today, we’re excited to share an important milestone.”
Shulman said the funding round also included “some of the best artists, producers, songwriters and people from across the music industry” but he did not disclose who those music industry personnel were. (When asked about this, a Suno rep declined to identify them.)
“This funding will help us accelerate what matters most: helping more people express themselves through music, while continuing to expand what’s possible for artists and creators on Suno,” Shulman wrote.
Shulman said the company plans to release a new model in the coming months rooted in its WMG partnership, one he believes will “create new experiences for fans while helping artists reach audiences, build community, and unlock new creative economic possibilities.”
Despite the intense industry pushback, the company has seen success among casual users. Suno surpassed 2 million subscribers in February, according to Shulman, with its annual recurring revenue reaching $300 million.
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