Today, in a court case which has attracted global interest brought by GEMA against U.S. provider of AI services OpenAI, the Regional Court in Munich handed down a very clear verdict: the way OpenAI is currently running ChatGPT violates the relevant European copyright laws. For the first time in Europe, the case for use by generative AI systems of copyright-protected works has been legally examined and ruled in favour of the works’ creators.
In the ruling, the Munich Regional Court clearly held that OpenAI should have acquired the rights to the relevant song lyrics by German lyricists and songwriters in the GEMA repertoire in order to use them for the purpose of training and operating ChatGPT. The ChatGPT systems contain copies of the original works, which are reproduced and made available in response to simple prompts by users. Such reproductions amount to infringements of remunerable copyright, for which OpenAI must obtain a licence that provides the copyright holders with appropriate remuneration.
In response to the ruling, Dr Tobias Holzmüller, CEO of GEMA, said: “The internet is not some kind of self-service buffet, and creative achievements by human beings are not simply templates for use free of charge. Today, we have set a precedent that both protects and clarifies the rights of creative copyright holders: operators of AI tools such as ChatGPT must also comply with copyright law. Today, we successfully defended the livelihoods of music creators.”
“For the first time, today’s ruling clarifies key legal questions concerning the way new technology interacts with European copyright law. The verdict represents a milestone on the way to obtaining fair remuneration for authors and creators throughout Europe,” added Dr Kai Welp, General Counsel for GEMA. “Even tech giants must obtain licences for the use of intellectual property; they cannot evade their obligations.”
OpenAI is one of the world’s market leaders in the field of generative AI and already boasts annual revenues in the double-digit billion-dollar range; the estimated valuation of the company itself comes to around one and a half trillion dollars. Even so, music creators have not yet participated in the commercial use of their works by AI.
The court made it clear that OpenAI is not a privileged research organisation and that legal authorisation for what is known as text and data mining does not in any way justify the storage and output of copyright-protected song lyrics. GEMA demonstrated that ChatGPT reproduces copyright-protected lyrics by well-known authors in response to simple prompts. The court confirmed that this gives rise to a licensing obligation. OpenAI was consequently convicted of copyright infringement.
“The Regional Court’s decision shows that the way AI systems operate systematically infringes the rights of authors. There is an urgent need for action here. GEMA’s licensing model offers one solution, but the legal framework must also be improved in favour of creative artists, so that the acquisition of licences by companies becomes the rule. We will continue to work towards this goal,” emphasised Dr Kai Welp.
GEMA licensing model as a solution for the industry
GEMA already offers a licensing model which was developed specifically for providers of AI tools back in September 2024: the model provides a safe legal basis for using music to operate and further develop AI tools by ensuring that music creators are fairly remunerated in a way that continues to encourage musical innovation. Until now, OpenAI has shown a general unwillingness to follow this or any other licensing model.
Further lawsuit pending against Suno Inc.
Also awaiting a hearing before the Munich Regional Court is another lawsuit brought by GEMA against Suno Inc., a U.S. provider of AI-generated audio content. GEMA was able to prove that Suno’s AI tool was trained on original recordings of works in the GEMA repertoire and now reproduces versions that are misleadingly similar. The hearing is expected to take place on January 26, 2026.
About GEMA
In Germany, GEMA represents copyrights held by more than 100,000 members (composers, lyricists and music publishers) and over two million owners of intellectual property rights worldwide. It is one of the largest collecting societies for creators of musical works in the world.
Interviews with GEMA CEO Dr Tobias Holzmüller and GEMA legal counsel Dr Kai Welp can be arranged in consultation with the press contacts below. Comprehensive information on AI, music and intellectual property rights can be found at www.gema.de/ki-und-musik