Albanese Government Rejects $50 Billion AI Copyright Carveout Claims as Labor Splits Over Datacentres
Updated
Updated · The Guardian · Jul 11
Albanese Government Rejects $50 Billion AI Copyright Carveout Claims as Labor Splits Over Datacentres
1 articles · Updated · The Guardian · Jul 11
Summary
$50 billion in proposed datacentre investment and a $350 million-a-year creatives fund were cited in claims of a copyright carveout, but the Albanese government said it has no plan to weaken copyright law.
The dispute was reignited by tech lobbying, a whistleblower tip to Senator David Pocock and reports that frontier AI firms see Australia’s copyright rules as a main barrier to training-model investment.
Labor ministers remain divided, with Tim Ayres and Andrew Charlton focused on attracting AI capital while Michelle Rowland and Tony Burke are pushing to protect creators and paid use of their work.
Anthony Albanese is due to outline the government’s broader AI vision on Wednesday, though no concrete copyright change is expected and the timeline for resolving the issue remains unclear.
The fight has become a test of how Australia balances AI investment against creative rights as it competes in a global datacentre race and voters remain cautious about AI’s risks.
Will Australia sacrifice creators' copyrights for billions in AI data centre investment?
Can AI's massive energy demands be met without surging household power bills?
Are paid licenses a viable solution for AI's use of creative works?
Australia’s AI Copyright Crossroads: Balancing Tech Investment, Data Centre Boom, and Creator Rights in 2026
Overview
The Albanese government is firmly resisting calls to weaken copyright laws for AI companies, maintaining its stance since ruling out special carve-outs last year. Instead, it prefers technology firms to negotiate direct agreements with creatives to ensure fair compensation for content use. Attorney General Michelle Rowland has launched new consultations with creatives, media, and tech companies, exploring a paid licensing model for AI. This approach aims to balance the benefits of AI with the need to protect creators’ rights and manage the growing demands on electricity and water from expanding data centers.