Syllabus: Awareness in the fields of IT, Space, Computers, Robotics, Nano-technology, Bio-technology and issues relating to intellectual property rights.
Context
- Government released a Working Paper proposing India’s first structured framework to regulate AI training on copyrighted content.
- Triggered by disputes such as ANI vs OpenAI (Delhi HC, 2024–25) over unauthorized AI scraping of Indian news content.
Issue with Generative AI and Copyright
- Unlicensed scraping of Indian creative works—books, films, music, articles—undermines Section 14 rights and denies creators compensation.
- India lacks a Text and Data Mining (TDM) exception, creating ambiguity around AI training legality.
- Creators earn nothing despite their works significantly improving AI accuracy and market value.
- AI-generated outputs may dilute indigenous art, music, folklore and regional storytelling, threatening cultural diversity.
- Big-tech firms hold disproportionate power, monetising Indian datasets while creators lack bargaining capacity.
- India is OpenAI’s second-largest market, yet no Indian creator receives revenue share.
Key Legal & Economic Concerns
- AI training involves copying and storing works, potentially violating Section 14 protections.
- Fair dealing (Section 52) cannot cover commercial AI training at industrial scale.
- Opt-out licensing models favour large publishers, excluding small creators.
- Mandatory transparency could burden AI start-ups, limiting competitiveness.
- Excessive opt-outs may shrink datasets, increasing hallucinations and bias in Indian LLMs.
Need for a Balanced Framework
- Protect India’s creative economy, employing millions across M&E, music and digital media.
- Support AI innovation under the IndiaAI Mission and planned 38,000 subsidised GPUs.
- Prevent decline in human creativity, ensuring cultural preservation.
- Enable fair royalty-sharing for creators whose works train AI systems.
- Provide low-cost, predictable licensing for Indian start-ups and MSMEs.
Major Recommendations
- Mandatory Blanket Licence allowing AI developers to train on all lawfully accessed copyrighted works.
- Statutory royalty payments ensuring creators receive proportional compensation from AI revenues.
- Creation of Copyright Royalties Collective for AI Training (CRCAT) to collect and distribute payments.
- A government-appointed rate-setting committee to ensure transparency and fairness.
- Single-window licensing—one licence and one payment—for nationwide compliance.
Conclusion
- India must align AI growth with creator rights, ensuring fairness and innovation coexist.
- The proposed model positions India to build a globally credible, culturally respectful, and technologically strong AI ecosystem.