Major music companies invest in Stability AI as generative music tools expand

The investment also includes gaming company Electronic Arts, AMD Ventures, Pacific Alliance Ventures, Coatue, Greycroft, Kadmos Capital, Sean Parker and Eric Schmidt. Coatue, Greycroft, Kadmos Capital, Parker and Schmidt also participated in Stability AI’s previous funding round.

UMG and Warner Music had previously entered strategic partnerships with Stability AI to develop AI tools for music creation. The latest investment extends those relationships while bringing Sony into the company’s investor group.

The funding follows Stability AI’s launch of Stable Audio 3.0, a suite of music-generation models that the company says has been trained using licensed data. The technology can be accessed through a digital audio workstation (DAW) plug-in and the company's Stable Audio platform.

Stability AI said the latest funding will support product development for creative production, applied research and its professional services business. The company said the Series B takes its total funding since CEO Prem Akkaraju joined in 2024 to $232 million.

“This unmatched group of investors is an affirmation of our vision where generative AI empowers every producer, musician, and storyteller,” Akkaraju said.

“Stability is unique in the AI field because we are creative people making tools for creatives. Developing industry-defining technology means assembling a team of industry-defining titans, and that’s what we have done here.”

Akkaraju said the investors would provide more than financial backing, citing their industry expertise, credibility and connections with artists.

Coatue co-founder Thomas Laffont has also joined Stability AI’s board of directors. He said the company was focused on developing creative tools with artists, studios and rights holders.

“While others are building generalised AI, Stability AI is building creative tools and doing it alongside the artists, studios, and rights holders whose work defines the field,” Laffont said.

The investment comes as the music industry continues to negotiate how generative AI should be developed and licensed. UMG announced its strategic alliance with Stability AI in October 2025, while Warner Music announced its partnership with the company the following month. Both agreements focused on developing AI tools using what the companies described as responsible approaches to training and music creation.

Stability AI has said that licensed training data is central to its approach to music AI, arguing that “artist-centric AI” must offer a better experience on licensed platforms than on unlicensed ones.

The company's emphasis on licensed data comes amid wider copyright disputes surrounding generative AI and the use of creative works to train models. The involvement of UMG, Sony and Warner in Stability AI therefore gives the major music companies a direct financial interest in a company developing AI technology for creative production, while also placing greater emphasis on the industry's ongoing debate over licensing and rights management.