Suno expanded its free tier at the same time investors were reportedly discussing a much higher valuation for the company. Free users moved from v3.5 to v4.5 All, while Music Business Worldwide reported that Suno was seeking $100 million at a $2 billion valuation.

V4.5 All brought newer tools to free users

The source describes v4.5 All as faster and better sounding than the older free models, with clearer vocals and smoother results across genres.

It also included Add Vocals, Add Instrumentals, and an Inspire feature that creates new songs from a user-selected playlist.

For Lunar Boom, which had already used v4.5 in production, the important change was access. Technology that had previously sat higher in Suno's product stack became available to free users.

Suno simultaneously released v5 for subscribers and continued building Suno Studio.

The source describes v5 as a more capable model for composing and working with user ideas. Suno Studio added a more editable workflow, including track editing, stem arrangement, and file export.

That gives Suno two different products around the same core technology. The generator creates music quickly, while Studio moves toward the kind of control users expect from a production environment.

Growth continued alongside copyright disputes

Suno and Udio were facing lawsuits from Sony, Universal, and Warner over allegations that copyrighted music had been used for AI training without permission. Suno argued that its use should qualify as fair use.

The source also reported Suno at roughly $100 million in annual revenue.

At the time, a $2 billion valuation would have been about 1.5% of the $131.95 billion Spotify market capitalization cited in the article. The comparison is only a scale reference because the companies operate very different businesses.

The initial Music Business Worldwide report was later overtaken by a larger funding announcement.

Suno subsequently raised $250 million at a $2.45 billion valuation, covered in Lunar Boom's funding breakdown.