Spain sets a global milestone: a new era for copyright in artificial intelligence
Antonio Tejeda Encinas, CEO of META Channel Corporation and President of the Euro-American Committee of Digital Law (CEA Digital Law)
DIDACTIC BRIDGE
Imagine a vast library, full of books, songs, drawings and films created by people all over the world. Now imagine that we want to use that library so that intelligent machines, such as artificial intelligence systems, can learn from all that content. Thanks to that learning, these machines could help us solve complex problems or even create new things. But there is an important catch: those works have owners, and they cannot be used without permission because they are protected by copyright.
Spain has decided to tackle this question with an innovative solution: a legal framework that allows these machines to use the content of that great “library”, but under clear rules. The framework respects creators’ rights and ensures that those who do not wish to take part can say so. This approach, unique in the world, opens the door to a model that could inspire other countries in handling this crucial intersection between technology and creative rights.
CONCEPTUAL BASIS: SPAIN SETS A GLOBAL MILESTONE
Spain has taken a bold step by placing itself at the forefront of international regulation of artificial intelligence through the Draft Royal Decree regulating extended collective licensing (ECL). This regulatory instrument, approved for urgent administrative processing on 9 July 2024, responds to the growing need for a legal framework that allows AI to develop while respecting intellectual property rights. This milestone not only positions Spain as a leader at the intersection of technology and regulation, but also opens a global debate on how to balance innovation and creative rights.
AI depends on massive access to data to train its models, a process known as text and data mining (TDM). Much of this data is protected by copyright, which creates a natural tension between technological progress and the protection of creators’ rights. Until now, there had been no comprehensive solution to this problem. With this Royal Decree, Spain is proposing a pioneering model that balances both interests, positioning itself as a global benchmark.
At the heart of the regulation is extended collective licensing, a model that allows collective management organisations to grant licences to use works not only of their members but also of rightholders who are not members, on condition that the latter can exercise a right to opt out. This mechanism strengthens creators’ autonomy and ensures that their wishes are respected.
The Royal Decree also includes strict transparency and oversight measures. Collective management organisations will have to operate under clear mechanisms, regulated by the competent authorities, to ensure fair management for both rightholders and users of the works. Initially, the scope is limited to text and data mining for AI, but it could be extended in future to sectors such as broadcasting, libraries and education.
CHALLENGES AND HURDLES TO OVERCOME
Despite its merits, the regulation faces significant challenges that must be addressed if it is to succeed.
The right to opt out, although essential, raises questions about how it will work in practice. The procedures must be clear, accessible and effective for all rightholders, including those unfamiliar with collective management organisations. If this is not handled properly, there is a risk that some creators will see their rights infringed.
Another challenge lies in the position of rightholders who are not members. Although they fall within the scope of collective licensing, robust mechanisms must be in place to guarantee fair and proportionate remuneration for the use of their works.
Furthermore, the impact on small and medium-sized enterprises (SMEs) cannot be ignored. Implementing the regulation may entail significant administrative and operational costs, which could discourage innovation by smaller companies and favour large corporations that already have substantial resources.
SPAIN’S POTENTIAL AS A GLOBAL LEADER
Despite the challenges, the benefits of this Royal Decree are undeniable. First, it provides a clear legal framework that reduces legal uncertainty for technology companies and encourages investment in AI. Second, it strengthens Spain’s position as a leader in the regulation of emerging technologies, consolidating its influence at European and international level.
From a legal perspective, the regulation is aligned with Directive (EU) 2019/790 of the European Parliament and of the Council on copyright and related rights in the Digital Single Market. Its consistency with the European regulatory framework not only ensures coherence but also makes Spain a model for other countries to follow.
Beyond Spain’s borders, the Royal Decree could become a global reference point, showing that it is possible to reconcile respect for copyright with technological progress. Successful implementation would set a precedent that could be replicated in other countries facing similar problems.
A GLOBAL OPPORTUNITY WITH LOCAL CHALLENGES
The Draft Royal Decree on extended collective licensing is not only a milestone for Spain but also the starting point of a new era in the relationship between technology and intellectual property rights. Although challenges remain, such as clear procedures, protection for rightholders who are not members and accessibility for SMEs, this initiative has already put Spain on the map as a global benchmark.
Spain has shown that technological innovation and respect for copyright are not opposites but can coexist within a balanced regulatory framework. The challenge now is to implement the regulation successfully, so that it becomes a fair, inclusive and workable model that inspires other nations.
The path it has embarked on is promising, and Spain has a unique opportunity to lead this global change in a field as crucial as artificial intelligence and intellectual property rights. This Royal Decree not only marks progress in AI governance but also underlines the country’s commitment to the future.
