Amid the meteoric rise in the artificial intelligence (AI) sector, the European Union has decided to take a more lenient approach to regulate AI copyright compliance, as the latest draft of the EU AI Act’s Code of Practice (CoP) greatly reduces uncertainty for general-purpose AI (GPAI) model providers.
EU’s Latest CoP Draft for GPAI Providers
The latest draft was released by the EU AI Office on March 11. The revised draft provides proportionate enforcement, which gives founders a clear picture of the guidelines to meet their obligations under EU copyright law.
However, there is a condition that says the CoP must be finalized by May 2, which only gives 3 months to providers to prepare for compliance.
Legal experts at Morrison Foerster call the new draft “more workable” than earlier versions. All previous drafts were criticized by the community for their rigid requirements.
The revised draft calls for a “proportional approach”, which specifically asks for specific compliance obligations based on the size and capacity of individual providers. If a provider fails to meet this obligation, they will face steep penalties for non-compliance, which include fines of up to 3% of global annual turnover of €15 million ($16.2 million), whichever is higher. There is also the possibility of an EU market ban.
The latest CoP revision outlines specific measures for GPAI model providers that must be followed. It includes internal compliance responsibilities and a comprehensive policy summary.
One of the main and crucial clauses added in the draft is the requirement for providers to mitigate the risk of downstream AI systems generating copyright-infringing content. It prevents models from recording training data excessively.
However, there is still room for improvement in these requirements, according to some experts.
Source: https://news.bloomberglaw.com/business-and-practice/eu-ai-act-guidelines-draft-hones-copyright-specifications
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