Artificial Intelligence: Intellectual Property Rights

Damian Collins Excerpts

Wednesday 1st February 2023 Westminster Hall

[Damian Collins (Folkestone and Hythe) (Con)]

It is pleasure to serve under your chairmanship, Mr Robertson. I do not wish to speak for a long time. I congratulate the hon. Member for Richmond Park (Sarah Olney) on her excellent opening speech. She made some powerful and important points.

Last year, I was briefly the Minister for tech and the digital economy, and this issue came within my remit. It sits between the Department for Digital, Culture, Media and Sport and the Minister’s Department, the Department for Business, Energy and Industrial Strategy. I was surprised then, and I am surprised now, by the result of the Government’s consultation. The recommendation that was made is the most extreme of the options considered. It is unsurprising when we read the responses that, on the whole, rights holders complained that the general exemption was a bad thing, and researchers and developers who wanted to do it thought it was a good thing. However, the Government’s response seems to completely dismiss the concerns raised by rights holders and entirely favour the people who wish to exploit this data for their own benefit.

It is quite clear that people are seeking to extract value from data that other people have created in order to create products and tools from which they themselves will benefit commercially. There are already lawsuits in the music industry between musicians who claim someone else has listened to and copied their work and sought to benefit from it commercially. For example, someone could take the back catalogue of every track ever written by the Beatles to learn the techniques and methods. From that, they could create new music composed in the same style, as if the group was at its peak of writing and recording today. They would do so without the consent of the rights holders of that content, and they would make money out of it for themselves.

We can easily see how that kind of passing off could occur at scale, without any licence or exemption, or any benefit for the original creators. We should be concerned about the impact that will have on the creative economy. Many experts believe we are already very close to the day when AI will be capable of creating a new No. 1 download track or even a hit movie.

[Sarah Olney]

The example of the Beatles is an excellent one that we can all relate to. However, the Beatles have already generated a great deal of wealth from that back catalogue. Does the hon. Gentleman not think it would be a greater threat to new and emerging artists, who perhaps have not yet achieved the reach of the Beatles, that their copyright could be breached and their music replicated before they have even had a chance to establish themselves as an artist and as the correct owner of that work?

[Damian Collins]

The hon. Lady is completely right. It has an impact on new artists in two ways. First, they are competing against AI-generated generic music from legendary artists. Secondly, the technology could be used to spot new and emerging artists who may be gaining in reputation and popularity, to quickly copy their style and techniques by analysing the data and text from their works, and creating new works from that. It opens the door to the machines really taking control of the creative process, to the detriment of original artists.

The important point of principle is that when people have created works, they should have the say on how those works are exploited. It is detrimental for another organisation that sees value in that work to take it, mine it, create something from it and claim it as its own. It would be rather like saying, when radio launched, “Well, we don’t really think that we should pay artists any money for playing their music on the radio because the radio creates a new audience for their work; more people are likely to buy records as a consequence, and charging for music would inhibit the growth of radio and radio stations, which have a huge benefit to the country.”

As technology has developed, we have decided to recognise that, with technological advances, we must reward the creators as well. Their work is exploited through those technologies to entertain and engage people, and it has a value too. If we deny them access to that value, we will restrict their work and the future work that will come from it.

I think that it is very important that there is at least an opt-in or an opt-out. The Intellectual Property Office cites other jurisdictions in the world where exemptions exist. In its preamble, it cites the EU as one of them, but what it does not say is that there are pretty fundamental differences between the way that it works in the EU and the proposals for the UK. The IPO has also taken the most extreme option of having very general exemptions.

It is very important to think about the remit of AI, because we can already see how important AI will be to shaping people’s experiences of content. Probably the best live example of AI at work today is in the way that people play video games—the way that they are designed around the user as they play them—or the way that content is recommended to people on social media platforms. That is AI-driven recommendation tools learning from the things that people like and engage with—how long they look at things and what they listen to—and pushing new content at them based on that.

When we think about metaverse and virtual-reality experiences, that will all be based on machine learning and data mining to create new experiences for people. If people doing that mining can benefit from the creativity of others to create those experiences and create those new images, and can do so without any recourse or compensation to the original creators, then that is a big power shift in the creative economy, away from creators to people who drive systems—away from the artist to the data broker and data miner.

As we see the central role that AI will play in shaping people’s experiences in the future, it would be a big mistake, at this point, to completely cut out the creatives and see their data and content exploited by somebody else without any compensation at all. I look forward to hearing what the Minister has to say. This is an urgent issue that requires a new think.

--- Later in debate ---

[Damian Collins]

My hon. Friend is right that there are exemptions in other jurisdictions, but none is as wide as the ones that we have set. The most comparable jurisdiction is Singapore. While Singapore has many great qualities, it is not a net exporter of music, nor does it have a creative economy on the same scale as ours. We have been discussing the Intellectual Property Office’s response to a consultation, in which it recommended introducing these measures. Am I right to take from what the Minister said that the Government are now minded not to introduce these measures, and so that for the time being, the status quo prevails until such other proposals may be considered?

[George Freeman]

That is exactly right. I will come to some of the lessons from that in a moment, but I am happy to confirm that.

In the consultation carried out by the Intellectual Property Office, a number of consultees made the case that UK copyright law was too restrictive, and was impeding investment in AI. The point was made about text and data mining exemptions in other countries, but I absolutely agree with my hon. Friend the Member for Folkestone and Hythe. He has a distinguished record in these affairs as a former Chair of the Digital, Culture, Media and Sport Committee, and through his career. The regulations must be proportionate and reflect the economy that we are regulating. We have an incredibly strong digital creative industry and non-digital creative industry, and we must ensure that that is appropriate.

We heard rights holders arguing that no change should be made in the UK, and we also heard not just the big AI and tech firms but researchers in the life sciences and social sciences making the case that many of them were increasingly finding problems, not with negotiating with the obvious rights holders when it was clear who they were, such as universities, but with material available on the internet. They were finding it difficult to find the person to get permission from them, and that was holding back research, especially when working with multiple rights holders. While I am happy to concede that the proposals perhaps were not correctly, fully or properly drafted, there are some issues that are still worth pursuing. The Intellectual Property Office was asking the right questions, but it is more complex than the original proposals suggested. That is why we have committed to continuing that consultation.

Yesterday, I was with the all-party parliamentary group. I have instructed the Intellectual Property Office to share its analysis of the consultation findings, so that we can sit down together and go through what the issues are that we still need to deal with, and can get the balance right. As was said by a number of colleagues from across the House, when I say “get the balance right”, there is clearly a difference between those small and sometimes voiceless creatives—whether analogue or digital, but particularly if they are not in the digital creative economy—because some may want to completely opt out and say, “I just never want to see my image turned into an avatar, ever.” People need the ability to just opt out. People also need the ability to license, to be on the front foot, and to negotiate terms, which happens.

What the Intellectual Property Office picked up on from both sides is that there is a middle ground: there are those without a strong organisational platform through which they can set out the terms on which they are prepared to have their material accessed, and there are digital creators using intermediary AI technologies to create digitally, which is a legitimate activity, and who are struggling to find that interface and make it work. It is in that space that we particularly need to look to get the balance right between our creative, digital and AI sectors. Many in those sectors are small, extraordinarily dynamic and entrepreneurial.

In Coventry, I recently met a fantastic, almost underground coding community of teenagers doing amazing things. We need to be careful to ensure that the creative industry can flourish, and that the rights of the creators, who may or may not want their material to be used, are not trampled over. If they do want their material to be used, that takes us to a second issue: fair remuneration. I have stood here and discussed this with the hon. Member for Cardiff West (Kevin Brennan) before. There are issues about rights and about remuneration. How should we ensure that small creators are properly remunerated? There are issues that we need to deal with. As a number of colleagues have said, this is about the balance between rights, responsibilities and remuneration in the world of digitalisation of content and creativity.

There are two big lessons from last summer. One is that data is important. I have started a conversation with the Intellectual Property Office to ask if we could not do more to ensure that we have better datasets on exactly what the situation is with new, emerging revenue streams, new providers and new creators. The industry is moving very fast, and when it comes to which bits of the market are working well and which are not, there is a slight lack of data on which to base policy. Creating market conditions in which everyone can have confidence is the real challenge for the Government and for me as Minister.

I tentatively suggest that there may be another lesson, which is that we should harness the power of digital technologies and digitalisation when doing consultations. I am not quite suggesting that we should have run the AI-ometer over the consultation responses, but given the number of analogue Government processes, harnessing smart intelligence systems may provide us with a good way of identifying better clusters of feedback in consultations, and help to democratise the process of consultation. It is a slightly left-field point, but I am trying to signal that as we think about these industries, we have to ensure that we are not just talking to the same people, but driving new methods of consultation to keep up with the pace of the industry.

I have probably detained you, Mr Robertson, and other Members long enough. I hope it is clear that we have listened and heard, and we are absolutely committed to making sure that we get this right. Although the Government need to be on the front foot in anticipating the regulatory framework and getting it right, the proposals have clearly elicited a response that we did not hear when they were being drafted. We have taken the responses seriously. The Minister responsible for this area—my hon. Friend the Member for Hornchurch and Upminster —and I have made it clear that we do not want to proceed with the original proposals. We will engage seriously, cross-party and with the industry, through the IPO, to ensure that we can, when needed, frame proposals that will command the support required.