OpenAI Urges U.S. Government to Declare AI Training on Copyrighted Works as Fair Use

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On Fri, 14 Mar, 8:05 AM UTC

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OpenAI calls for the U.S. government to codify AI training on copyrighted material as fair use, arguing it's crucial for maintaining America's AI leadership against China. The proposal, part of Trump's AI Action Plan, sparks debate on copyright laws and AI regulation.

OpenAI's Push for Fair Use in AI Training

OpenAI, the company behind ChatGPT, has submitted a proposal to the Trump administration's "AI Action Plan," urging the U.S. government to codify AI training on copyrighted material as fair use 1. This move comes amidst ongoing legal battles and debates surrounding the use of copyrighted works in AI model training.

The Copyright Debate

OpenAI argues that AI transforms copyrighted works during training and that AI outputs aren't substitutes for original works 1. The company claims that their models "are trained to not replicate works for consumption by the public" and instead "learn from the works and extract patterns, linguistic structures, and contextual insights" 1. This, according to OpenAI, aligns with the core objectives of copyright and the fair use doctrine.

However, this stance has met with opposition from rights holders who argue that AI models trained on creative works threaten to replace them in markets and dilute humanity's creative output 1. A landmark ruling has already favored rights holders, with a judge declaring AI training is not fair use in a case involving Thomson-Reuters' Westlaw 1.

The China Factor

OpenAI's proposal heavily emphasizes the competition with China in AI development. The company warns that if the People's Republic of China (PRC) has unfettered access to data while American companies are restricted, "the race for AI is effectively over" 1. OpenAI points to the rapid advances of China's open-sourced AI model DeepSeek as evidence that America's lead in AI is narrowing 1.

Calls for Deregulation and Federal Intervention

In addition to copyright concerns, OpenAI is pushing for broader deregulation and federal intervention in AI policy. The company argues that the current patchwork of state laws (with 832 introduced in 2025 alone) could hinder economic competitiveness and undermine national security 1. OpenAI is calling for a federal law that preempts state regulations and establishes a "voluntary partnership between the federal government and the private sector" 1.

Global Implications

OpenAI's proposal extends beyond domestic policy, suggesting that the U.S. should shape international copyright discussions and prevent "less innovative countries from imposing their legal regimes on American AI firms" 14. This stance has raised concerns about potential conflicts with international copyright laws and norms.

Industry Support and Opposition

Google has echoed similar sentiments in its own policy proposal, arguing for weak copyright restrictions on AI training and "balanced" export controls 3. Both companies are facing lawsuits from content owners over their use of copyrighted material in AI training 23.

Criticism and Concerns

Critics, including cybersecurity experts and legal scholars, have expressed concerns about the implications of OpenAI's proposals. Dr. Ilia Kolochenko, CEO at ImmuniWeb, warns that advocating for a special copyright regime for AI technologies could have long-lasting consequences on the American economy and legal system 4.

As the debate continues, the outcome of these policy discussions will likely have significant implications for the future of AI development, copyright law, and international technology competition.

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