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Businesses fear Licensing for AI inhibits innovation

Microsoft 23, Microsoft is the largest vendor of computer software in the world. It is also a leading provider of cloud computing services, video games, computer and gaming hardware, search and other online services, “Microsoft Notice of Inquiry Comments to the US Copyright Office,” 11/1/2023, https://www.regulations.gov/comment/COLC-2023-0006-8750, Accessed: 6/29/2024 //CPSW MC

C. License and Consent Requirements would Limit Competition and Inhibit Technological Progress (Q9)

Any requirement to obtain consent for accessible works to be used for training would chill AI innovation. It is not feasible to achieve the scale of data necessary to develop responsible AI models even when the identity of a work and its owner is known.28 Such licensing schemes will also impede innovation from start-ups and entrants who don’t have the resources to obtain licenses, leaving AI development to a small set of companies with the resources to run large-scale licensing programs or to developers in countries that have decided that use of copyrighted works to train AI models is not infringement. Moreover, without access to a broad set of training materials from varied sources, AI models may become biased or inaccurate. Other proposals that practically limit access to content, such as an opt-in or license system, suffer the same drawbacks.

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