Reply to thread

Message: [QUOTE="Shamiso, post: 93900, member: 160"] Universal Music Group and Sony Music Entertainment can question former Menlo Ventures investor C.C. Gong over a deleted post about Suno. A federal judge has cleared the move, giving both labels access to testimony that could matter in their AI copyright case. The fuss centers on Gong's claim that she had begun using Suno for much of her music listening. She had grown bored with Spotify's repeated song picks and found herself turning to the AI music app instead. That detail matters for a legal reason. Suno argues that its AI creates new work rather than replacing music that labels already sell. Gong's account may help UMG and Sony claim that the service can take listeners away from existing recordings. U.S. copyright law has a rule for this. Courts weigh whether a disputed use harms sales or the value of protected work when they assess fair use. The labels want to know what Gong's change in listening habits might reveal about that issue. Magistrate Judge Paul G. Levenson agreed to let the labels seek her testimony. His order in Massachusetts gives them 30 days to carry out the deposition, which would involve Gong answering questions under oath. But getting to that point took some effort. The labels first asked Menlo Ventures for details about the post. Menlo's lawyers said the firm could not give the answers sought, even though Gong was still working there at that stage. A later offer from Menlo covered how the message went up and why it came down. Her private listening habits were a different matter. The firm then told the labels that Gong had left her job, a fact they say reached them after a key deadline had passed. UMG and Sony moved to question Gong once they learned she was no longer at Menlo. Her former firm's lawyers asked the labels to hold off on direct contact while they checked whether they would act for her. Suno did not fight the request, though it raised the issue of timing. Its view was that court deadlines should apply fairly to all sides. Still, it left the choice to the judge and did not rule out Gong or Menlo making their own legal objections. The case has another dispute over how Suno got music for its AI. UMG and Sony allege that the firm got around YouTube's download protections to obtain recordings. That claim has separate rules for how evidence can be gathered. Menlo Ventures has a large stake in Suno's growth. The firm led a $250 million Series C round that put Suno's value at $2.45 billion. Gong's original message had marked the app reaching 2 million paying users and $300 million in yearly recurring revenue. Other backers have faced legal demands as well. Lightspeed Venture Partners, which led an earlier Series B round, is fighting a bid for its records and testimony. Warner Music Group had also been part of the lawsuit. It later made peace with Suno through a licensing deal, leaving UMG and Sony to pursue their claims. Ed Newton-Rex, who runs Fairly Trained, helped preserve the disputed post. He shared an image of Gong's deleted message on X and had earlier flagged its possible value in court. For Gong, a casual post about swapping Spotify for Suno has turned into a legal issue. Her testimony may shed light on what she meant, but the court has not decided whether her experience proves harm to the music market. [/QUOTE]

Name