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MICROSOFT ANNOUNCES NEW COPILOT COPYRIGHT COMMITMENT FOR CUSTOMERS

Sep 7, 2023 | Brad Smith, Vice Chair and President, Hossein Nowbar, CVP and
Chief Legal Officer

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Microsoft’s AI-powered Copilots are changing the way we work, making customers
more efficient while unlocking new levels of creativity. While these
transformative tools open doors to new possibilities, they are also raising new
questions. Some customers are concerned about the risk of IP infringement claims
if they use the output produced by generative AI. This is understandable, given
recent public inquiries by authors and artists regarding how their own work is
being used in conjunction with AI models and services.

To address this customer concern, Microsoft is announcing our new Copilot
Copyright Commitment. As customers ask whether they can use Microsoft’s Copilot
services and the output they generate without worrying about copyright claims,
we are providing a straightforward answer: yes, you can, and if you are
challenged on copyright grounds, we will assume responsibility for the potential
legal risks involved.

This new commitment extends our existing intellectual property indemnity support
to commercial Copilot services and builds on our previous AI Customer
Commitments. Specifically, if a third party sues a commercial customer for
copyright infringement for using Microsoft’s Copilots or the output they
generate, we will defend the customer and pay the amount of any adverse
judgments or settlements that result from the lawsuit, as long as the customer
used the guardrails and content filters we have built into our products.

You’ll find more details below. Let me start with why we are offering this
program:

 1. We believe in standing behind our customers when they use our products. We
    are charging our commercial customers for our Copilots, and if their use
    creates legal issues, we should make this our problem rather than our
    customers’ problem. This philosophy is not new: For roughly two decades
    we’ve defended our customers against patent claims relating to our products,
    and we’ve steadily expanded this coverage over time. Expanding our defense
    obligations to cover copyright claims directed at our Copilots is another
    step along these lines.
 2. We are sensitive to the concerns of authors, and we believe that Microsoft
    rather than our customers should assume the responsibility to address them.
    Even where existing copyright law is clear, generative AI is raising new
    public policy issues and shining a light on multiple public goals. We
    believe the world needs AI to advance the spread of knowledge and help solve
    major societal challenges. Yet it is critical for authors to retain control
    of their rights under copyright law and earn a healthy return on their
    creations. And we should ensure that the content needed to train and ground
    AI models is not locked up in the hands of one or a few companies in ways
    that would stifle competition and innovation. We are committed to the hard
    and sustained efforts that will be needed to take creative and constructive
    steps to advance all these goals.
 3. We have built important guardrails into our Copilots to help respect
    authors’ copyrights. We have incorporated filters and other technologies
    that are designed to reduce the likelihood that Copilots return infringing
    content. These build on and complement our work to protect digital safety,
    security, and privacy, based on a broad range of guardrails such as
    classifiers, metaprompts, content filtering, and operational monitoring and
    abuse detection, including that which potentially infringes third-party
    content. Our new Copilot Copyright Commitment requires that customers use
    these technologies, creating incentives for everyone to better respect
    copyright concerns.

More details on our Copilot Copyright Commitment

The Copilot Copyright Commitment extends Microsoft’s existing IP indemnification
coverage to copyright claims relating to the use of our AI-powered Copilots,
including the output they generate, specifically for paid versions of Microsoft
commercial Copilot services and Bing Chat Enterprise. This includes Microsoft
365 Copilot that brings generative AI to Word, Excel, PowerPoint, and more –
enabling a user to reason across their data or turn a document into a
presentation. It also includes GitHub Copilot, which enables developers to spend
less time on rote coding, and more time on creating wholly new and
transformative outputs.There are important conditions to this program,
recognizing that there are potential ways that our technology could
intentionally be misused to generate harmful content. To protect against this,
customers must use the content filters and other safety systems built into the
product and must not attempt to generate infringing materials, including not
providing input to a Copilot service that the customer does not have appropriate
rights to use.

This new benefit doesn’t change Microsoft’s position that it does not claim any
intellectual property rights in the outputs of its Copilot services.

We have published more details of the Copilot Copyright Commitment for customers
and welcome the opportunity to have further conversations as Copilots become
more widely available.

Our shared AI journey

Today’s announcement is a first step. Like all new technologies, AI raises legal
questions that our industry will need to work through with a wide array of
stakeholders. This step represents a pledge to our customers that the copyright
liability of our products is ours to shoulder, not theirs.

Microsoft is bullish on the benefits of AI, but, as with any powerful
technology, we’re clear-eyed about the challenges and risks associated with it,
including protecting creative works. It is our responsibility to help manage
these risks by listening to and working with others in the tech sector, authors
and artists and their representatives, government officials, the academic
community, and civil society. We look forward to building on such announcements
with new initiatives that help ensure that AI advances the spread of knowledge
while protecting the rights and needs of creators.

Tags: AI, artificial intelligence, copilot copyright commitment


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