Govt rules out copyright exemption for AI tech companies

The Government has ruled out amendments to copyright law that would allow tech companies to train AI on Australian creative works without payment or permission.

Govt rules out copyright exemption for AI tech companies

The Federal Government has ruled out allowing tech companies to train AI on Australian content without permission or payment.

It follows industry pushback against a Productivity Commission proposal to create an exception to the Copyright Act.

The Government said that while it recognises AI’s opportunities, it must ensure “Australian creatives benefit” too.

Creative industry representatives have called the move a win for Australian artists.

Context

In August, the Productivity Commission released an interim report called ‘Harnessing data and digital technology’.

The Commission is a Government body tasked with making recommendations.

Its report suggested a text and data mining (TDM) exception to the Copyright Act.

The exemption could have permitted tech companies to use copyrighted Australian content (like books, music and movies) to train AI systems, without seeking permission or paying creators.

Ruled out

While the Government has ruled out the TDM exemption, it says consultation on the use of copyrighted content to train AI is now underway.

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Over the next two days, a working group will discuss what a “fair, legal” compensation framework could look like for companies seeking to use copyrighted material to train AI models.

It will also consider whether the existing law needs to be updated to address how it applies to AI-generated content.

The group will also explore a possible forum where creators could seek compensation for “lower-value copyright infringement matters.”

Attorney-General Michelle Rowland said that while AI presents “significant opportunities,” the Government has “no plans to weaken copyright protections.”

“The tech industry and the creative sector must now come together to find sensible and workable solutions that support innovation while ensuring creators are compensated,” Rowland said.

Reactions

Music industry representative ARIA called the move a commitment to ensuring “consent, control, and compensation remain at the heart of copyright in the age of AI.”

The Australian Society of Authors said the move sends a “clear message that creators should be paid for their work.”

Both groups will take part in this week’s talks in Canberra.

Shadow Attorney-General Andrew Wallace said the Coalition welcomes “any step that recognises the value of Australian creativity.”

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