The court ruled that Warhol’s “Prince Series,” based on a photograph by Lynn Goldsmith, infringed copyright because the works shared the same commercial purpose — in effect, competing with the way Goldsmith made her living: licensing her work.
The court’s decision shifted fair-use emphasis onto how the unauthorized copy was being used in the market to compete with the original work — not just whether it looks substantially similar to the original. That de-emphasis on visual similarity would likely be critical to winning infringement battles related to generative AI.
Second, if the purpose of use is noncommercial in nature — such as for “nonprofit educational purposes” — it’s also more likely to be deemed fair use. On that point, certain companies may try to argue fair use if they didn’t create the dataset used to train their AI model themselves, with that being done instead by a noncommercial entity.
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Source: Reuters - 🏆 2. / 97 Read more »