Suno said on Wednesday (June 3) it has raised around $400 million in its latest funding round led by OpenAI and Kalshi investor Bond Capital, for a post-money valuation of $5.4 billion.
Other big investors in Suno’s series D funding round included venture firms IVP, Forerunner, Union Square Ventures, Alkeon and Quiet, along with previous Suno investors Lightspeed, Menlo Ventures, and Schroders Capital. Suno, whose leading AI music platform has stirred debate around generative AI, copyrights and artistry, says leading artists, producers, songwriters and music industry insiders also invested in the round.
Suno, which in November signed a licensing deal with Warner Music Group, said the funding will help the company expand to more users and add new creation features as it prepares to unveil a new AI model it worked on with industry stakeholders.
“In the coming months, we’ll begin rolling out our first music model developed in partnership with the music industry,” Suno co-founder & CEO Mikey Shulman wrote in a post on its website announcing the fundraise. “We believe there’s a huge opportunity to create new experiences for fans while helping artists reach audiences, build community, and unlock new creative and economic possibilities.”
Founded in 2023, Billboard previously reported that Suno’s music creation app generated $140 million in annual recurring revenue as of Sept. 30, 2025, up from $50 million at the start of 2025. At that time, Suno users were generating around 7 million tracks and streaming 20 million minutes of music daily.
In November, the company raised $250 million in its series C fundraise from a group of investors led by Menlo Ventures, with participation from NVIDIA’s venture capital arm NVentures, Hallwood Media and two longstanding investors Matrix and Lightspeed. Earlier this year, Mike Mignano, who led Lightspeed to invest in Suno’s series B and C funding rounds, moved to Union Square Ventures, which joined this latest funding round.
Despite reaching a licensing agreement last year with WMG, the remaining major music companies, Universal Music Group and Sony, have yet to announce similar deals and remain involved in a $500 million copyright infringement lawsuit against Suno. (WMG’s part in that suit was settled as part of its agreement with Suno.)
Shulman said Suno has worked with artists, producers, and songwriters to develop tools they and the general public could use to make more music “in ways that weren’t possible before.”
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The company says users have made songs to commemorate light moments like birthdays, anniversaries, graduations and inside jokes, and for serious personal matters, like music therapy, to honor passed loved ones and help for dementia and Alzheimer’s patients to remember voices and memories.
“We’ve seen Suno become part of culture in ways that continue to surprise us,” Shulman wrote, adding that viral trends made Suno No. 1 in the Apple App Store’s music category in multiple countries.
“No matter how powerful new technologies become, music only matters because of the emotion, perspective and lived experience behind it.”
