TLDR: Scott Farquhar, co-founder of Atlassian and chair of the Tech Council of Australia, has called for significant changes to Australian copyright laws, including a ‘text and data mining exception,’ to allow AI companies to access existing works without compensation for training purposes. This proposal, supported by the Productivity Commission, aims to boost AI innovation and economic growth, but has drawn strong criticism from artists, authors, and politicians who argue it undermines creators’ rights and intellectual property.
Scott Farquhar, the influential co-founder of Australian tech giant Atlassian and current chair of the Tech Council of Australia, has ignited a national debate by advocating for sweeping reforms to the nation’s copyright laws. Farquhar argues that current legislation acts as a significant barrier to artificial intelligence (AI) innovation, proposing that AI companies should be granted greater access to existing copyrighted works for training their models without needing to compensate rights holders.
Speaking at the National Press Club and slated to attend federal treasurer Jim Chalmers’ productivity roundtable, Farquhar has championed the idea of a ‘text and data mining exception’ to the Australian Copyright Act. He suggested that he would not object if Atlassian’s own intellectual property were utilized without payment, provided it ultimately leads to the creation of superior software. This stance is rooted in the concept of ‘fair use,’ aiming to foster a more dynamic AI development environment in Australia.
This push for reform aligns with recommendations from the Productivity Commission, which has also floated the idea of such an exception. The Commission estimates that AI could contribute over $116 billion to Australia’s economy, cautioning that overly stringent regulations could impede this substantial economic opportunity. Commissioner Stephen King emphasized that new, economy-wide regulations specifically targeting AI should only be applied in circumstances where existing frameworks cannot mitigate harms.
However, Farquhar’s proposals have met with fierce opposition from various sectors, particularly within the arts and creative industries. Arts Minister Tony Burke has firmly rejected the notion of weakening copyright laws, stating unequivocally that the government has ‘no plans, no intention, no appetite’ to do so based on the Productivity Commission’s draft report. Burke stressed the importance of upholding existing protections for creators.
Former arts minister and prominent arts community figure Peter Garrett has been a vocal critic, describing the proposed changes as a pathway for ‘copyright theft.’ Garrett directly challenged Farquhar’s position, asserting that it effectively suggests ‘we should be allowed to steal people’s copyright so we can make more money.’ He views AI as a ‘distinctly new danger to creative integrity’ and has called for an urgent strengthening of copyright laws to safeguard Australian cultural sovereignty and intellectual property against powerful corporate interests.
Opposition Leader Sussan Ley echoed these sentiments, condemning the idea that ‘big tech’ companies should be allowed to exploit the creative works of Australian artists, musicians, creators, and journalists without fair compensation. Major global tech players, including Google and Microsoft, have also been lobbying the Australian government for similar copyright exemptions to facilitate their AI training processes.
Internationally, the debate is equally charged. While some jurisdictions like the US and UK have explored avenues for AI companies to bypass copyright for training purposes, the issue remains contentious. A US federal judge recently ruled that Anthropic did not breach copyright in using books to train its model, comparing the process to a ‘reader aspiring to be a writer.’ Conversely, organizations like the US Authors Guild and the European Writers Council are advocating for clear transparency obligations to distinguish AI-generated content from human-created works, fearing that human authors could become mere ‘content in AI systems’ datasets.’
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The ongoing discussion highlights a fundamental tension between fostering technological innovation and protecting the rights and livelihoods of creators in the digital age.
