Generative AI, a groundbreaking technology that uses artificially intelligent systems to create original and unique content, has been gaining traction in various industries. From art and design to marketing and advertising, this AI is revolutionizing the way businesses create and use visual content. However, concerns about copyright infringement and legal liabilities have posed challenges for organizations looking to leverage this powerful technology.
In response to these concerns, Shutterstock, a leading provider of stock images and videos, has announced a significant enhancement to its generative AI offering. The company will now provide full indemnification for the license and use of generative AI images on its platform, offering enterprise customers protection against potential claims related to the use of these images. This move is aimed at ensuring that businesses can confidently utilize generative AI while safeguarding their creative endeavors.
The Rise of Generative AI and the Need for Legal Protection – Generative AI, also known as generative adversarial networks (GANs), is a technology that uses machine learning algorithms to generate new content, such as images, videos, and music. It involves two neural networks: a generator, which creates new content, and a discriminator, which evaluates the authenticity of the generated content. Through an iterative process, the generator learns to create increasingly realistic and original content.The potential applications of this tech are vast. From creating artwork and designing products to generating personalized marketing materials, businesses are leveraging this technology to streamline their creative processes and explore new possibilities. However, the use of generative AI also raises legal concerns, particularly regarding copyright infringement and intellectual property rights.
Shutterstock’s Indemnification Offering: Protecting Businesses and Artists – To address these concerns and provide its customers with peace of mind, Shutterstock has introduced a comprehensive indemnification offering for generative AI images. This offering ensures that businesses using this tech on the Shutterstock platform are protected against potential claims related to copyright infringement or other legal issues.Under the indemnification offering, Shutterstock will fulfill requests for indemnification on demand through a human review of the generative AI images. This review process ensures that the images comply with the company’s licensing agreement and applicable laws, protecting businesses from potential legal liabilities.
Jeff Cunning, VP of Product at Shutterstock, emphasized the importance of offering commercial licensing confidence to customers. He stated, “One of the biggest things that our customers have wanted from us is the same commercial licensing confidence that they get for other Shutterstock content.” With the introduction of full indemnification for generative AI images, Shutterstock aims to meet this demand and enable businesses to incorporate this tech into their real-life business processes.
Competition in the Enterprise Generative AI Market – Shutterstock’s announcement comes in the wake of a similar offering by Adobe, signaling increased competition in the enterprise generative AI market. Adobe recently announced its own indemnification program for commercially safe generative AI content, further highlighting the growing importance of legal protection in this space.The competition between Shutterstock and Adobe reflects the increasing demand for generative AI solutions that are both safe and ethical for commercial use. As more businesses recognize the potential of this tech in enhancing their creative processes, they are seeking assurances that the content generated through these systems is legally compliant and free from copyright infringement.
Shutterstock’s Journey with Generative AI – Shutterstock’s journey with generative AI began in October 2022 when the company partnered with OpenAI to allow customers to use the DALL*E model for generating AI imagery. This collaboration enabled Shutterstock customers to leverage the power of this tech and create unique visual content.In January, Shutterstock expanded its relationship with Meta, allowing Meta to use Shutterstock’s stock datasets to develop and train its machine learning capabilities. Additionally, Shutterstock launched its own AI image generator, further empowering its customers with the ability to create and license new assets using generative AI technology.
Throughout its journey, Shutterstock has been committed to ethical practices and compensating artists who contribute to the development of generative AI models. The company’s Contributor Fund, launched in October 2022, has compensated hundreds of thousands of artists for their role in training Shutterstock’s generative technology. Contributors also receive ongoing royalties tied to licensing activity for newly generated assets.
Empowering Contributors and Protecting Creativity – Shutterstock’s focus on compensating contributors and protecting their content is evident in its approach to generative AI. The company ensures that artists are fairly compensated for their contributions to the development of AI models, while also safeguarding the creative rights of businesses.By offering full indemnification for generative AI images, Shutterstock empowers businesses to explore the possibilities of this technology without fear of legal repercussions. The company’s commitment to legally licensable datasets and responsible AI practices ensures that businesses can generate and license new assets with complete commercial safety.
Conclusion: Navigating the Future of Generative AI – As this tech continues to reshape industries and unlock new creative possibilities, legal protection, and ethical considerations remain crucial. Shutterstock’s enhanced generative AI offering, with full indemnification for its enterprise customers, reflects the company’s dedication to supporting businesses and artists in this evolving landscape.Through its partnership with OpenAI, collaboration with Meta, and the launch of its image generator, Shutterstock has positioned itself as a leader in this space. By providing legal protection and compensating contributors, Shutterstock reaffirms its commitment to creating a safe and ethical environment for businesses to leverage the power of this technology.
As the competition for enterprise generative AI solutions intensifies, businesses must carefully evaluate their options and choose partners who prioritize legal compliance, artist compensation, and responsible AI practices. With Shutterstock’s indemnification offering, businesses can confidently embrace this tech and unlock its transformative potential, while protecting their creative endeavors and respecting intellectual property rights.
FAQ
Q: What is generative AI? This is also known as generative adversarial networks (GANs), is a technology that uses machine learning algorithms to create new and original content, such as images, videos, and music. It involves two neural networks: a generator, which creates the content, and a discriminator, which evaluates its authenticity.
Q: Why is legal protection important in generative AI? Legal protection is important in generative AI to address concerns about copyright infringement and intellectual property rights. As this tech becomes more prevalent, businesses need assurance that the content they generate and use is legally compliant and does not infringe upon the rights of others.
Q: How does Shutterstock’s indemnification offering work? Shutterstock’s indemnification offering provides full protection to its enterprise customers for the license and use of generative AI images on its platform. The company fulfills requests for indemnification on demand by conducting a human review of the images to ensure compliance with licensing agreements and applicable laws.
Q: How does Shutterstock compensate contributors in generative AI? Shutterstock compensates contributors through its Contributor Fund, which has already compensated hundreds of thousands of artists for their contributions to the development of generative AI models. Contributors also receive ongoing royalties tied to licensing activity for newly generated assets.
Q: What sets Shutterstock apart in this market? Shutterstock stands out in the generative AI market due to its commitment to ethical practices, artist compensation, and responsible AI. The company ensures that its datasets are legally licensable and focuses on empowering contributors while protecting the creative rights of businesses.
Q: How can businesses benefit from generative AI? This tech can benefit businesses by streamlining creative processes, enabling the creation of unique and personalized content, and unlocking new possibilities for product design, marketing, and advertising. However, legal protection and ethical considerations are essential when utilizing generative AI technologies.
