PSA: PlayStation 5's Hottest New Accessory Is Out Now

Universal Music Group and Sony Music amended their lawsuit against Suno, accusing the AI music company of using 'stream ripping' to bypass YouTube's encryption and train its AI. Judge F. Dennis Saylor IV allowed the claim under the Digital Millennium Copyright Act but denied adding 61,026 recordings to the existing 560. The case focuses on whether Suno's use of copyrighted material constitutes fair use.

Sony Music and nine labels sued Kroger and 18 entities for alleged unauthorized use of 392 songs in social media ads, seeking $58.8M. The suit claims central control over ad approvals. Kroger's data subsidiary, 84.51 LLC, is also named. Sony argues willful infringement, citing prior licenses and continued use post-notice.

Sony's stock rose 1.36% to $24.25 despite a PlayStation user boycott over plans to stop producing new game discs in 2028. Game operating margin increased to 21.6%, driven by digital services and currency effects. Active users grew 2% in June, but playtime declined 4%. Analysts remain optimistic, with three of four recommending a Strong Buy.

Sony Music and Designer Brands (DBI) settled a copyright lawsuit over unauthorized music use in social media videos. The court was notified of the agreement in principle, and final details are pending. Designer Brands' earnings reports may provide more details. Warner Music's similar lawsuit against DSW is ongoing, and a resolution is possible. DSW has shifted to using music from social media-specialized libraries. According to the court, pre-cleared libraries are gaining traction.

Major music companies reported streaming growth of 8.3% on average in Q2 2026, with Warner Music Group (11.3%), Sony Music (9.7%), and Universal Music Group (5.6%) leading. Spotify's growth was 14.6%. The gap between major labels and Spotify narrowed to 7 percentage points. Universal and Warner cited pricing impacts on their growth. Spotify expects Q3 2026 revenues of €5.0 billion, with 17% reported growth. Barclays forecasts 8.1% streaming growth for Universal in Q3 2026.

Sony ADRs rose 2.96% to $24.31 premarket after Sony said it will fund a $4.69 billion image-sensor partnership with TSMC. The move implied about $4.18 billion in added equity value. Sony plans Kumamoto investment of 465 billion yen, TSMC 282 billion yen, with volume production targeted for 2029. Sony also raised FY operating profit outlook to ¥1.72 trillion.