Generative AI, Copyright Exceptions and the EU's AI Act

The article argues that the EU AI Act will shape how generative AI companies handle training data, copyright and transparency, with effects beyond the EU. It says the Act extends the 2019 Directive's text and data mining exceptions to generative AI and requires general purpose AI model providers to put in place a policy to respect rights holders' opt-out reservations under Article 4(3), regardless of where training takes place. The article also says providers must publish a "sufficiently detailed" summary of training content, which it reads as likely to name major datasets such as LAION-5B. Fines are described as steep, with caps of up to 35 million EUR or 7 percent of worldwide annual turnover.