Australia Considers AI Opt-Out Training Plan
The government is weighing options for AI firms to train on creative works amidst pressure for copyright clarity.
Updated on Oct. 20, 2026 in Artificial Intelligence
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Should AI companies be required to obtain explicit permission before using creative works for training?
As of September 2026, the Australian government is considering an opt-out plan that would allow AI companies to train on creative works. This proposal follows reports that firms like OpenAI and Anthropic have linked future investment in the country to clear copyright laws.
Why it matters
The proposal marks a shift in policy, as the government previously ruled out an AI training exemption in October 2025. Providing clarity is now a key factor for major tech companies considering their long-term investment strategies in the Australian market.
The proposed plan would require creators to opt out to prevent AI companies from training on their works, with one option requiring firms to pay royalty-collecting groups. In comparison, no major AI platform has requested a license from APRA AMCOS in four years.
The players
Michelle Rowland
She serves as the Attorney-General and previously ruled out an AI training exemption for Australia in October 2025.
OpenAI
This major artificial intelligence research organisation has linked potential Australian investment to the establishment of copyright-law clarity.
Anthropic
This AI safety and research company has expressed that its future investment in Australia depends on the government clarifying copyright laws.
The details
Leaked slides titled 'AI on Australian Terms' detail two potential pathways for governing AI model training in Australia. One of the proposed options requires AI companies to provide payments to a central body or designated royalty-collecting organisations.
Timeline
December 2024: Britain proposed an AI training exception plan.
February 2025: Artists released a silent protest album in Britain.
October 2025: Attorney-General Michelle Rowland ruled out an AI training exemption.
18 March 2026: Britain's government confirmed it abandoned the opt-out plan.
September 2026: Australian department put plan options to rights-holder groups.
The Tech Race
Australia's policy evaluation follows the pattern set by Britain's abandonment of the AI opt-out plan on 18 March 2026. This move signals a broader transition toward creating distinct regulatory frameworks that balance tech investment with existing intellectual property rights.
The proposed policy will determine whether creative professionals must actively opt out to stop their work from being used to train AI models. This change aims to resolve current ambiguities regarding intellectual property rights for artists and writers in the digital economy.
The takeaway
The government is attempting to navigate the tension between fostering tech innovation and protecting the intellectual property of its creative sector. Future clarity on copyright is expected to influence the level of capital investment major AI firms commit to the Australian market.
What happens next
The Australian government plans to introduce wider AI and data-centre rules during 2027.
Further reading
For more context on the local regulatory landscape, visit the Artificial Intelligence section.
Live Poll
Should AI companies be required to obtain explicit permission before using creative works for training?
