AI: Key Developments, Legal Updates & Litigation Scorecard
Major AI Business & Legal Developments, Where Key AI Litigation Stands, and Why You Should Care (Including Detailed Analysis of the Current State of Play)
Welcome to Creative Media’s “The BrAIn” newsletter.
I. AI HEADLINE STORIES
(1) AI Leaders Warn: “Mitigating the Risk of Extinction from AI Should Be a Global Priority”
Well, that headline pretty much says it all. It’s pretty tough to beat that as a headline story. Read more here.
(2) ChatGPT Maker OpenAI is Now the Fastest Growing Website on the Planet
In a second very distant headline to the first, remarkably, in just over 6 months, ChatGPT now approaches 1 billion users worldwide. Read more here.
And what does OpenAI’s transformational technology “train” on? Well now, for the first time, a new analysis reveals ChatGPT’s secret reading list. Not surprisingly, Sci-Fi is amongst the most scraped genres. Is that a good thing? Bad thing? Does it impact what ChatGPT “spits out" (including frequently dire prognostications of the future of AI and humanity)? You be the judge. Read it here from Insider.
II. AI “QUICK HITS” (KEY DEVELOPMENTS)
Here are 15 of the most interesting and important AI-related business and news stories of the past few weeks.
(NOTE: I am no alarmist, but increasing warning bells are going off from leading figures in the world of AI about generative AI’s multi-pronged threat (including its threat to Creators and the creative arts in general. See my stoic assessment of it all in “Quick Tip” #11 below).
(1) Despite Headline Story A above, many believe there is zero (0) chance of global AI regulation. Axios reports that “it will likely take an AI-related catastrophe before any international rulebook or organization begins regulating AI technologies.”
(2) And this certainly doesn’t help calm the fears. Microsoft says its new AI shows signs of human reasoning. And CEO Satya Nadella openly concedes that the company has no way of knowing how exactly its generative AI technology comes to its specific answers and conclusions. Gulp …. Read more here from The New York Times.
(3) It’s not just the AI experts whose fear grows, as many analysts now believe that AI may be an existential threat for major music labels and the creative community in general. Read more here from Music Business Worldwide.
(4) Exhibit A that the AI threat to the music and overall creative community is real: AI Persona of human pop singer overtakes success of the “real thing.” Singaporean singer Stefanie Sun, a household name in China and Hong Kong, took to social media to bemoan: “My fans have officially switched sides and accepted that I am indeed ‘an unpopular singer’ while my AI persona is the current hot property. I mean really, how do you fight with someone who is putting out new albums every few minutes?” And she is right. Read more about it here.
(5) That threat to real artists like Sun is rationalized by many as simply being an ode to increased democratization for everyone to be a “creative” - no training needed. As one example, Tencent Music is developing AI-powered tools to “help reduce the barrier to music creation.” Read more here.
(6) In another example in the world of entertainment, perhaps you should think about licensing your voice for AI? Some caution to think again. Here’s a cautionary note.
(7) It’s highly likely, in my view, that voice appropriation lawsuits will accelerate amidst this AI threat, at least in the California courts. Read more here about the Golden State’s unique legal landscape in the world of entertainment.
(8) But lawyers, don’t use ChatGPT to do your legal research for your when you file (or defend) your lawsuits. It likely will not go well. Here’s a cautionary tale from The New York Times.
(9) Hey Creators, I know much of this sounds daunting, but don’t worry, OpenAI’s CEO Sam Altman has your back and really, really cares. Just ask him. Congress recently did, and Altman assured them that he believes Creators “need to benefit” from AI. Smitten, Congress hung on his every word. Read more here.
(10) Thankfully, Google cares too! So don’t worry Artists that the search giant, desperate to catch up to Microsoft/OpenAI, just opened up its AI-text-to-music generator MusicLM (after just recently cautioning that it would move slowly to get there). Read more here.
(11) Even the biggest music company in the world is jumping aboard the AI train. Universal Music Group just partnered with generative AI startup Endel to create “AI-powered, artist-driven functional music.”
(12) Meanwhile, believe the HYBE! In another fascinating (and sobering) example of generative AI experimentation in the world of music, K-pop giant Hybe is turning to AI for its new artists to release albums in six different languages at the same time. And Hybe is using virtual artist Midnatt to prove its points. Read about it here.
Now, don’t get me wrong. As I’ve always said, we can’t put our heads in the sand about AI and its transformation of the creative world. Nor can we fear it. It’s time for stoicism: acceptance of AI’s new reality, education, and experimentation (learning how best to leverage the power of AI). UMG is doing just that with its new partnerships. But it’s also time for regulation - not to mention taking a stand on whether we are on “Team Human” or “Team AI” in the creative community. Read my recent article in that regard here.
(13) The European Union is, not surprisingly, moving faster than the U.S. in terms of AI regulation. Read more here.
(14) What, me worry? Should you, or shouldn’t you, worry that AI may give you the pink slip? Just type in your job to see how much AI will affect it (via the Washington Post’s new tool, which you can use here). And for all you software developers out there, Google just announced its “new methodology for training large machine learning models for software development.” So I guess it may be time to think of a new niche in the world of development - and “prompt engineering” is one job category sure to grow massively as generative AI accelerates.
(15) And will AI ultimately bring us more “humanity”? Will AI mitigate or exacerbate the nation’s loneliness crisis? Here’s one sobering take via Axios.
III. AI CASE TRACKER & STATUS REPORT
Here are the headline updates on the most important cases in the last two weeks.
Infringement Cases
Andersen, et al. v. Stability AI, Midjourney, and DeviantArt. On January 13th, 2023, several artists filed a class action copyright infringement lawsuit against generative AI art platforms Stable Diffusion, Midjourney and DeviantArt. The lawsuit targets generative AI’s ability to create art “in the style of” specific artists based on their works being included in its training data set (in other words, unlicensed derivative works). A great summary of the case can be found here (download the full article here). No major updates since my last newsletter. Most recently, on April 18th, the three defendants filed their individual Motions to Dismiss. A few days later, the Court moved the Case Management Conference to August 29th, 2023.
Getty Images v. Stability AI. The iconic photo library filed its own major lawsuit on February 2nd, 2023, accusing Stability AI of “scraping” and infringing Getty’s content on a massive scale (training its AI on 12 million of its images). Read about it here from The Verge. No major updates since my last newsletter. Getty Images filed its Amended Complaint on March 29th, and on May 2nd Stability AI filed its Motion to Dismiss for lack of personal jurisdiction.
OpenAI Looks to Dismiss DMCA Lawsuit Over its AI Tool Copilot. For now, read this smart and thorough overview from The Fashion Law.
More cases to be tracked in the coming weeks, but these are the most closely watched.
IV. MY AI READING LIST: MY LATEST ARTICLES & ANALYSES ABOUT GENERATIVE AI & ITS IMPACT ON THE ENTERTAINMENT INDUSTRY
Check out my weekly column in TheWrap (you can see my Author’s Page here, where you can find all of my articles.) Here are just some of them most relevant to AI and the world of media, entertainment and the Arts.
(NOTE: these articles below are behind a paywall, but you can find the full versions for free on Yahoo - just search the title and add “Yahoo” to your search).
(1) “The Supreme Court Just Became Hollywood’s New BFF in Its AI Fight” (Read it here.) I discuss how the Court’s narrowing of “fair use” in the Andy Warhol serves as a new angle to beat back generative AI’s “scraping” of copyrighted works.
(2) “Hollywood, Are You ‘Team Human’ or ‘Team AI’? It’s Time to Choose” (Read it here). My article is in the context of the ongoing Hollywood writers’ strike, where I advise the major studios and streamers to decide now, before generative AI will make the decision for them (ultimately much to their dismay).
(3) “The Entertainment Industry Dropped the Ball When the Internet & Napster Hit. What Can It Do Differently in This AI Revolution?” (Read it here.) I discuss how the past should serve as a cautionary tale to the generative AI present, and what the entertainment industry can (and should) do differently this time.
(4) “From Fake Drake to Fan Frenzy: AI Can Help - Not Just Hurt - the Music Business” (Read it here.) It’s not all doom and gloom of course, and here’s my more positive “take” on how Artists can leverage generative AI for their benefit (including economic benefit).
(5) “An ‘Opt In’ Solution for Paying Artists in an Increasingly Generative AI World” (Read it here.) I write a profile of a company - Lore Machine - that shows us how it can be done for the benefit of the entertainment and creative community.
(6) “Keanu Reeves & BottleRock Show Us a Way Out of ‘The Matrix’” (Read it here.) I discuss how live music, festivals and experiences - not to mention the fandom and relationships they generate - are an antidote to AI.
(7) “Want to Fight AI? Use Fans - and Supercharge Them With Web3” (Read it here.) This is a companion piece to my Keanu article.
V. CLOSING THOUGHTS: Check Out & Subscribe to My Separate “Fearless Media” Newsletter
My legal and business advisory firm Creative Media and I work with leading companies and players in these worlds of media, entertainment and tech, including in the worlds of major entertainment, media and IP M&A and strategic partnerships (check out our clients). Think of us as your external General Counsel, business development experts and advisors. Reach out to me, Peter Csathy, at peter@creativemedia.biz to explore how we can help.
If you like my work, check out my separate “Fearless Media” newsletter - all about the future of entertainment, media and tech. Check it out and subscribe via this link.
And if you like THIS newsletter, support it, subscribe to it and share it! Industry expert Jim Louderback calls this newsletter “a must read” and “fascinating look at how these new technologies are being hashed out in court.”