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The US Copyright Office says AI-generated material can be copyrighted — if humans edit it

Copyright remains a case-by-case situation, but the report is a boost to film studios looking to cut VFX costs.

Its been long established that if you want something copyrighted, that thing needs to have been made by a human.

As the use of AI-generated material expands, though, the question of just what constitutes human authorship has repeatedly popped up. In a new 41-page report released Wednesday, the US Copyright Office provided some clarifications for courts, artists, and studios.

In its first official comment on AI and copyright since March 2023 (shortly after ChatGPT was released publicly), the Copyright Office found that art containing AI-generated elements is likely eligible for copyright. Works created entirely by AI and not edited or touched by a human creator are probably not.

That is to say: a movie including an AI de-aged Robert De Niro can be copyrighted, but a movie created simply by typing the prompt make a film starring a young Robert De Niro likely cant, per existing laws.

As to the boundaries of that principle, or the question of how much human editing is enough human editing? the report concludes that its a case-by-case situation. Thus is the legally murky world of copyright. The Copyright Office goes on to conclude that it doesnt believe new legislation is necessary, mostly because it would be difficult to be both specific enough and broad enough to provide clarity:

The Office understands the desire for clarity around the copyrightability of AI-generated material. We do not believe, however, that legislation is necessary at this point. Much of the concern expressed focused on the assistive use of AI tools, and this Report seeks to provide assurances that such uses do not undermine protection.

The report does provide some key information for Hollywood studios like Disney and Netflix. Studios are said to have largely been holding back on fully opening the AI floodgates due to a combination of factors including: copyright ambiguity, the actual performance of AI tools, labor agreements, and public outcry.

Supporters of AI have lauded the Offices report, likening AI to cameras or any other technical tool humans use to create art. Disney CEO Bob Iger has urged Hollywood creatives not to fixate on [AIs] ability to be disruptive but instead on its ability to make us better and tell better stories.

Many workers feel differently, due to this particular tools potential to threaten jobs. While efforts have been made in recent years by visual effects workers at Disney and Comcast to unionize with the 150,000-member IATSE union, the VFX industry is largely nonunion and is typically hired out by studios through contracts.

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eBay stock slumps on gloomy Q4 outlook despite solid Q3 earnings

Shares of eBay fell as much as 10.5% in premarket trading on Thursday morning after the company gave a lower-than-expected profit forecast for the important holiday shopping season.

The e-commerce giant reported solid numbers for the third quarter on Wednesday, with revenue up 9% as reported to $2.8 billion and gross merchandise volume rising 10% to $20.1 billion, topping the average analyst forecast of $19.4 billion, per Bloomberg.

However, concerns about the future somewhat overshadowed these results.

eBay outlined its profit outlook for the period ending in December to $1.31 to $1.36 a share, with revenue at $2.83 billion to $2.89 billion. According to Bloomberg-compiled data, this broadly matches Wall Street’s estimates for the top line, but misses on the bottom line, with analysts forecasting EPS to come in at $1.39 — suggesting the company expects some further margin pressure.

The company has been facing macroeconomic challenges since the US ended the de minimis tariff exemption in late August, with the online marketplace reliant on shipments. One small silver lining? CFO Peggy Alford highlighted a “less durable trend” on a post-earnings call: that as commodity prices for precious metals boomed, demand for bullion and collectible coins on eBay spiked.

However, concerns about the future somewhat overshadowed these results.

eBay outlined its profit outlook for the period ending in December to $1.31 to $1.36 a share, with revenue at $2.83 billion to $2.89 billion. According to Bloomberg-compiled data, this broadly matches Wall Street’s estimates for the top line, but misses on the bottom line, with analysts forecasting EPS to come in at $1.39 — suggesting the company expects some further margin pressure.

The company has been facing macroeconomic challenges since the US ended the de minimis tariff exemption in late August, with the online marketplace reliant on shipments. One small silver lining? CFO Peggy Alford highlighted a “less durable trend” on a post-earnings call: that as commodity prices for precious metals boomed, demand for bullion and collectible coins on eBay spiked.

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