AI versus Intellectual Property

Using AI to create a quick logo or write a complete article for you might seem like a great idea. But is it? The longevity, and even value of your business can be tied to the branding and content that you create. So why put AI in charge?

The risk is you may not be able to own the Intellectual Property (IP) that AI creates for you, whether it is an image, article, or logo.

If you don’t own the IP, then you can’t:

1. Protect it – either by Copyright or Trade Mark

2. Value it – as part of your business valuation

3. Licence it – for other people to use, e.g. white labelling or franchising

4. Sell it – as part of your business sale price

Can I Copyright AI-Generated Content?

Just like AI itself, the rules around AI and IP can be ambiguous.

To paraphrase the New Zealand Copyright Act 1994:

Copyright exists in the original works of:

a) literary, dramatic, musical, or artistic works, sound recordings, films, communication works, and published editions.

However, a work is not original if—

a) it is a copy of another work; or

b) it infringes the copyright in another work.

Even with significant human input (changes and alterations to the AI design or text), you are at risk of infringement of the original works. AI regurgitates what it has found - other business’s logos, images and text. And these may already be protected by Copyright or Trade Mark.

Legal Action Against AI Companies

According to the Copyright Licensing New Zealand (CLNZ) AI Position Statement of October 2023:

“The scraping, analysis, and exploitation of vast quantities of data appears to frequently occur without rightsholders’ lawful authorisation.“

“The variety of lawsuits that have cropped up recently between creators and generative AI companies show that, in all cases, permission hasn’t been asked or granted,” says CLNZ chief executive Sam Irvine.

And there are other hidden loopholes in some AI-generating apps, especially around licensing. One example is, you need a subscription to the app to commercially use the content it created for you.

Create What AI Can’t

The whole point of creating content for your business is to stand out in your industry and from your competitors. To do this, you need to recognise what is unique to you and your business. Give your clients real value, and give them what AI can’t provide, e.g.

• Thought pieces – topical thoughts on your industry, future trends etc

• Professional expertise – what you know

• Personal experiences – what you’ve done

• Case studies - how you have helped your clients

• Public relations – how you have contributed to your community

And remember to:

• Complete thorough research

• Use reliable sources

• Engage in fact checking

Creating content that appeals to your current or potential clients, whether it’s a website, newsletter or article, should take time. Just remember – it doesn’t need to be your time.

AI Regulations and Policies

New Zealand, along with many other countries, are working on developing regulations and policies around AI-generated content. The aim is not to minimise AI input. It’s about ensuring AI systems are transparent, ethical, fair and lawful. And maximising the protection, permission, recognition and remuneration for the owners, authors and artists of the original works.

And as a business owner, this includes protecting you.

DISCLAIMER: This entire article was proudly written by an actual person, not created by AI.

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