Amazon plans AI content marketplace where publishers can license content to AI firms

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Amazon is reportedly developing an AI content marketplace where media companies can license their content directly to AI firms. The Information reports that Amazon Web Services circulated slides mentioning the platform ahead of a publisher conference. The move comes as publishers struggle with declining traffic from AI summaries and seek new revenue streams.

Amazon Web Services (AWS) Plans AI Content Marketplace

Amazon is developing an AI content marketplace that would allow publishers to license their content directly to AI companies for training data, according to a report by The Information

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. The e-commerce giant has been meeting with publishing executives and circulated slides mentioning a content marketplace ahead of an Amazon Web Services conference held Tuesday

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. The slides reportedly show AWS grouping the marketplace with its core AI tools, including Amazon Bedrock and Quick Suite, when describing products publishers can use in their businesses

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Source: CXOToday

Source: CXOToday

When reached for comment, an Amazon spokesperson didn't deny the plans but stopped short of confirming them, stating: "Amazon has built long-lasting, innovative relationships with publishers across many areas of our business, including AWS, Retail, Advertising, AGI, and Alexa. We are always innovating together to best serve our customers, but we have nothing specific to share on this subject at this time"

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Addressing Copyright Infringement Concerns and Unauthorized Data Scraping

The proposed platform would act as a central hub where AI companies could formally license content instead of relying on unauthorized data scraping from the open web

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. The AI industry's pursuit of licensable content has been filled with lawsuits and accusations of copyright infringement as tech companies search for legally safe sources of AI model training data

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. Currently, many AI systems gather data online without clear agreements or fair payment arrangements, leading to mounting legal issues

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Publishers and AI companies continue negotiating over the rules for using online content, whether to train Large Language Models (LLMs) or to generate answers for users, with publishers pressing for usage-based fees that rise with how much their content is used

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. The licensing process can often be complicated and lengthy, requiring legal scrutiny, which makes acquiring a large volume of training datasets quickly unfeasible

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Source: Reuters

Source: Reuters

New Revenue Streams for Publishers Amid Traffic Decline

Publishers have described the current situation as a traffic apocalypse, with generative AI summaries siphoning clicks and advertising revenue

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. Media companies say the growth of AI chatbots and AI-generated search summaries is reducing website traffic to their sites

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. One recent study claimed that such summaries have had a "devastating" impact on the number of users clicking through to websites

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Source: PYMNTS

Source: PYMNTS

Publishers may view the new marketplace-based content-sharing system as a more sustainable business that will scale up revenue as AI usage continues to escalate

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. A centralized licensing hub could offer what some executives see as a more scalable, structured way to monetize content

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. Lower search referrals can translate into declines in readership and advertising revenue, with The Washington Post partly attributing falling search traffic and the rise of generative AI to recent staff layoffs

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Following Microsoft's Lead in Content Licensing Partnerships

Amazon wouldn't be the first major tech company to take this route. Microsoft recently launched what it calls a Publisher Content Marketplace (PCM), which it says will give publishers "a new revenue stream" while also providing AI systems with "scaled access to premium content"

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. Microsoft added that the PCM was designed to "empower publishers with a transparent economic framework for licensing" their content

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Several major AI companies have already signed content licensing partnerships with established media organizations in an effort to address concerns about copyrighted material appearing in training datasets. OpenAI, for instance, has entered into agreements with the Associated Press, Vox Media, News Corp, and The Atlantic, among others

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. However, the number of such deals remains minuscule, and these efforts haven't been enough to stem the legal fallout

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While the discussions appear to be at an early stage, any eventual marketplace might not be limited to written articles and datasets. If expanded to include licensed photos and other visual material, it could also affect photographers and other creators who have raised concerns about their work being used to train AI systems without clear consent or payment

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. Given how Microsoft has already launched its marketplace and has onboarded both publishers and AI firms, Amazon would likely want to make an announcement as soon as possible to remain competitive in this emerging space

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