Spain Marks a Global Milestone: The New Era of Copyright in Artificial Intelligence
Antonio Tejeda Encinas, CEO of META Channel Corporation and President of the Comité Euro Americano de Derecho Digital — CEA Digital Law
DIDACTIC BRIDGE
Imagine a gigantic library, full of books, songs, drawings and movies created by people from all over the world. Now, imagine that we want to use that library so that intelligent machines, such as artificial intelligence systems, learn from all that content. Thanks to this learning, these machines could help us solve complex problems or even create new things. But there is an important detail: these works have owners, and cannot be used without their permission because they are protected by copyright.
Spain has decided to address this issue with an innovative solution: a legal framework that allows these machines to use the content of that great “library”, but under clear rules. This framework respects the rights of creators and ensures that those who do not want to participate can say so. This approach, unique in the world, opens the door to a model that could inspire other countries in managing this crucial intersection between technology and creative rights.
CONCEPTUAL BASIS: SPAIN MARKS 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 licenses (ECL). This regulatory instrument, approved for urgent administrative processing on July 9, 2024, responds to the growing need for a legal framework that allows the development of AI while respecting intellectual property rights. This milestone not only positions Spain as a leader at the intersection between technology and regulation, but also opens a global debate on how to balance innovation and creative rights.
AI relies 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, creating a natural tension between technological advancement and the protection of creators’ rights. Until now, this problem lacked comprehensive solutions. With this Royal Decree, Spain proposes a pioneering model that balances both interests, positioning itself as a global benchmark.
The core of this regulation is expanded collective licenses, a model that allows collective management entities to grant use licenses to works not only of their members, but also of non-affiliated owners, under the condition that the latter can exercise a right of exclusion (“opt-out”). This mechanism reinforces the autonomy of the creators and guarantees that their will is respected.
In addition, the Royal Decree includes strict transparency and supervision measures. Collective management entities must operate under clear mechanisms regulated by the competent authorities to ensure fair management for both the owners and users of the works. Initially, the scope of application focuses on text and data mining for AI, but could be extended in the future to sectors such as broadcasting, libraries and education.
CHALLENGES AND STILLS TO OVERCOME
Despite its virtues, this regulation faces significant challenges that must be addressed to ensure its success.
The right to opt out, although essential, raises questions about its practical implementation. Procedures must be clear, accessible and effective for all owners, including those who are not familiar with collective management entities. If not managed properly, there is a risk that some creators will have their rights violated.
Another challenge lies in the position of unaffiliated holders. Although they fall under the scope of collective licensing, robust mechanisms must be in place to ensure fair and proportional compensation for the use of their works.
Furthermore, the impact on small and medium-sized enterprises (SMEs) cannot be ignored. The implementation of this regulation can generate significant administrative and operational costs, which could discourage innovation from smaller companies and favor large corporations that already have substantial resources.
THE POTENTIAL OF SPAIN 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. Furthermore, it reinforces Spain’s position as a leader in the regulation of emerging technologies, consolidating its influence at the European and international level.
From a legal perspective, this regulation is aligned with Directive 2019/790 of the European Parliament and of the Council, on copyright in the digital single market. Its harmonization with the European regulatory framework not only guarantees coherence, but also makes Spain a model to follow for other countries.
Beyond borders, the Royal Decree could become a global reference point, demonstrating that it is possible to balance respect for copyright with the advancement of technology. The successful implementation of this regulation 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 expanded collective licenses is not only a milestone for Spain, but also a starting point for a new era in the relationship between technology and intellectual property rights. Although there are challenges to overcome, such as clarity in procedures, protection of non-affiliated owners and accessibility for SMEs, this initiative has already placed Spain on the map as a global benchmark.
Spain has shown that technological innovation and respect for copyright are not opposites, but rather elements that can coexist in a balanced regulatory framework. Now, the challenge is to implement this regulation successfully, ensuring that it becomes a fair, inclusive and functional model that inspires other nations.
The path taken is promising, and Spain has the unique opportunity to lead this global change in an area 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.
