OpenAI is reportedly developing a new AI-powered music generation tool that accepts both text and audio prompts, signaling its entry into the booming AI music creation space. The move would pivot the company from text, image, and video generation into generating instrumental music, and possibly more, placing it in competition with platforms such as Suno, Udio, and Beatoven.ai.

According to sources familiar with the matter, OpenAI is working with students from the Juilliard School to help annotate musical training data for the underlying model. While the report mentions the tool can generate instrumental music, it remains unclear whether vocals will be included in the initial rollout. The model may also be used to add music to video-generated clips by Sora or from other sources.

The AI-music market is already drawing significant traction. Suno in particular has reportedly quadrupled its annual recurring revenue to approximately US$150 million (~₹1,320 crore). The competitive environment suggests that OpenAI’s potential entry could accelerate innovation, but the company has not yet disclosed when the tool will be available or under what terms.

With this project, OpenAI appears to be expanding its suite of AI tools beyond conversational and image generation, tapping into creative audio content in a bid to broaden its reach and influence across creative industries.