India Proposes AI Royalty System, Sparks Industry Debate
Update: 2025-12-09
Description
India Proposes AI Royalty System: A New Era for AI Companies and CreatorsIndia is introducing a groundbreaking system where AI companies will pay royalties to use copyrighted content for training their models. This proposal, released by the Department for Promotion of Industry and Internal Trade, aims to create a mandatory blanket license, allowing AI firms access to all copyrighted works in exchange for payments to a new organization. This system is designed to lower costs for AI companies while ensuring creators are compensated for their work. However, some industry groups, like Nasscom and the Business Software Alliance, argue against a royalty system, warning it could slow down innovation and limit the quality of AI models. The Indian government has opened this proposal for public feedback, with a thirty-day comment period before finalizing recommendations.
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