SoundCloud is apparently working on becoming completely legit. Bloomberg reported that, according to "people with knowledge of the plans," the Berlin-based music hosting website is in works with Universal, Sony and Warner to sign a deal that would keep the labels from suing SoundCloud for copyright violations.

The deal would supposedly also include a stake in SoundCloud of somewhere between three and five percent, along with a cut of future revenues. "Two people familiar with the talks," according to Bloomberg, said that the deal would put SoundCloud's value as a company at around $500- to $600 million. Whether that would be an increase or a decrease seems to be unclear, as the company was valued at around $700 million earlier this year.

It's still unclear how this might affect the placement music of artists like Tegan and Sara, who are signed to Warner, on the music hosting site. But if this news is true and deals are reached, we'll probably find out before too long.

This story comes out after Your EDM reported that SoundCloud at some point gave Universal the unfettered ability to close users' accounts without notice over copyright issues.