Italy probes Suno AI music terms on liability and arbitration

Italy's Competition Authority (AGCM) announced on October 6, 2026 an investigation into AI music firm Suno's terms of service under Article 33 of Italy's Consumer Code. AGCM said the terms "may create a significant imbalance in the rights and obligations under the contract, to the detriment of consumers." Fines under this authority range from EUR 5,000 to EUR 10 million. The agency flagged unilateral changes to contracts, services, and prices without justification; account and content terminations without notice; broad liability limits; and extra terms users cannot review before signup. It said the content license "seems to be insufficiently defined, as it is framed in generic and all-encompassing terms, and imposes the waiver of moral rights" under Italian Law 633/1941. Terms also appear to require U.S. binding individual arbitration, a class-action waiver, and exclusive Massachusetts jurisdiction. Current terms took effect September 3, 2026. AGCM will consult trade groups, chambers of commerce, and consumer organizations. No material factual disputes appear in the coverage. CEO Mikey Shulman said on October 1 that Suno is "far beyond" its last released figures of 2 million subscribers and $300 million in revenue.