> AI-output does not qualify for IP protections
I beg to differ. AI-output did not entitle the person creating the prompt for IP protections, so far – but my objection is not directed towards the "so far", but towards your omission of "the person creating the prompt", because if an AI outputs copyrighted material from the training data, that material is still copyrighted. AI is not a magical copyright removal machine.
The U.S. Supreme Court just declined to hear a case, thus upholding a lower court precedent that LLM output are not copyrightable: https://www.reuters.com/legal/government/us-supreme-court-de...
What this means in practice is that (currently), all output of an LLM is legally considered to not be copyrightable (to the extent that it's an original work). If it happens to regurgitate an existing copyrighted work, though, is that infringement? I'm not sure we have a legal precedent on that question yet.
There’s several large settlements that say Anthropomorphic/OAI didn’t want to have legal precedent. In general if it’s not outright regurgitated it would be derivative.
The out of court settlements that avoid precedent don't mean anything in a broader legal context. Legally speaking, right now in the USA, output of LLMs is not copyrighted and cannot be copyrighted (without substantial transformation by a human).
I don't think this means the same thing as whether or not LLM output can infringe on someone else's copyright though (that does pose an interesting question -- can something non-copyrightable in general infringe on something copyrighted?).
Of course. I cannot claim copyright on a poem that I have memorized as a child and written down as an adult. The original author can, though.