BS EDIT: India's Bold Proposal on AI & Copyright

By Business StandardPublished On Dec 15, 2025

The Core Proposal: Statutory Licensing

The draft suggests an automatic license for AI firms to use any lawfully accessed copyrighted work for training, with royalties paid upon commercialisation

No prior permission or opt-out for creators is required

Governance: A Centralised Authority

A government-appointed body would collect and distribute royalties

A separate committee with experts would set rates, subject to judicial review, covering both organised and unorganised creator sectors

Key Points of Contention

The model rejects dataset disclosure and creator opt-outs

Critics call it a "tax on innovation," while creators fear undervaluation and lack of control over their premium content's use

Risk of Global Isolation & Access

As a global outlier, this could deter international copyright holders from licensing content into India,

potentially limiting access to premium global content for education and consumers

The Underlying Principle vs. The Method

The intent to prevent free-riding on creativity and ensure remuneration is sound

However, the method of forced licensing with state-set rates is seen as problematic and misaligned with global trends

A Proposed Middle Path

An alternative: a legal framework protecting copyright with model contracts, enabling direct negotiations between AI firms and creators

This could balance remuneration with market flexibility and international pragmatism