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Australia accuses tech giants of stealing user data for AI

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Australia wants new legislation to regulate AI

What’s the story

An Australian Senate inquiry has accused tech giants Amazon, Google, and Meta of exploiting Australian data to train their artificial intelligence (AI) models.

The inquiry criticized these companies for their lack of transparency and reluctance to disclose crucial information about how they utilized personal and private data.

The final report emphasized the urgent need for new legislation to regulate AI and safeguard Australians’s rights.

Inquiry calls for standalone AI legislation

The inquiry, led by Labor senator Tony Sheldon, demanded standalone AI legislation to combat what he described as “piracy” by tech multinationals.

Sheldon alleged that these companies were profiting off Australian culture, data, and creativity without giving anything back.

The report recommended designating general-purpose AI models such as OpenAI’s GPT, Meta’s Llama, and Google’s Gemini as “high risk,” requiring mandatory transparency and accountability measures.

Current laws deemed inadequate to address AI’s impact

The inquiry noted that existing laws fall short of tackling the scale and speed of AI’s impact.

Sheldon specifically noted that companies like Amazon and Google refused to explain how data from services like Alexa, Kindle, and Google’s platforms were utilized in AI training.

Meta admitted to collecting data from Australian Facebook and Instagram users since 2007 but failed to explain how users could have consented to a use case that didn’t exist at the time.

Inquiry highlights AI’s threat to creative industries

The inquiry highlighted the major dangers AI poses to creative industries. It suggested ways to compensate creatives when their work is utilized by AI models.

The report called on developers to disclose copyrighted materials in their datasets and ensure proper licensing and payment.

Creative workers were found to be especially vulnerable to AI’s rapid evolution, which could severely disrupt their livelihoods.

Mixed reactions to proposed AI Act

Organizations such as APRA AMCOS and the Media Entertainment and Arts Alliance welcomed the report’s recommendations, including the establishment of an AI Act.

They believe these measures provide clear steps to protect creative industries from unregulated use of their intellectual property by AI systems.

However, not all committee members agreed with these suggestions. Coalition senators Linda Reynolds and James McGrath warned against over-regulating AI, arguing it could stifle innovation and hinder potential job creation.

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