Suno Inc., a generative artificial intelligence music creation platform, has raised $400 million in a Series D funding round. This latest investment values the startup at $5.4 billion.
The funding round was led by Bond Capital, alongside IVP, Forerunner, Union Square Ventures, Alkeon, and Quiet, as well as existing investors. This valuation marks a significant increase from about seven months ago, when the company raised capital at a $2.45 billion valuation. Additionally, the company had raised $250 million nearly six months prior to this latest round.
Suno plans to use the funds to enhance its platform by creating new tools. This growth follows a turnaround in the company's relationship with the music industry. While major record labels previously sued Suno, accusing it of training its models on copyrighted songs without permission, those labels have now become partners.