India's AI Revenue Sharing Proposal Shakes Up Tech Giants

An Indian government panel has proposed that AI companies pay content creators a share of revenue for using their work to train models. This poses a challenge for companies like OpenAI and Google, which have traditionally relied on free access to publicly available data for training their AI models.

An Indian government panel has made significant waves by recommending that artificial intelligence firms remunerate content creators when using their work to train AI models. The proposal is seen as a restriction on tech companies like OpenAI and Google, which traditionally relied on free access to public data.

This move comes amid a global rush by governments to establish regulations addressing AI-related copyright issues. While OpenAI and Google argue that using publicly available data is 'fair use,' the Indian panel suggests that royalty payments should be made to a central body representing copyright owners.

The pushback contrasts with other jurisdictions, like the United States and Japan, where AI companies enjoy broader allowances. However, the European Union has taken a stricter stance, allowing content owners to opt out, a model the Indian panel finds ineffective. Tech industry bodies like Nasscom have voiced dissent, calling the proposed fees a 'tax on innovation.'

(With inputs from agencies.)