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U.S. Copyright Office Releases New Report on Legality of AI Training, Suggesting Law Is With Rightsholders on Key Issues

The U.S. Copyright Office report examining copyrights and generative AI training supports licensing copyrights when used in commercial AI training.

A compulsory license establishes fixed royalty rates and terms and can set practices in stone; they can become inextricably embedded in an industry and become difficult to undo. A2IM and RIAA described compulsory licensing as entailing ‘below-market royalty rates, additional administrative costs, and… restrictions on innovation’… and NMPA saw it as ‘an extreme remedy that deprives copyright owners of their right to contract freely in the market, and takes away their ability to choose whom they do business with, how their works are used, and how much they are paid.’” The Office leaves it up to the copyright owners and AI companies to figure out the right way to license and compensate for training data, but it does explore a few options.

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