Navigating the Intersection of Artificial Intelligence and Intellectual Property Rights: Challenges and Opportunities in India

Khurana and Khurana, Advocates and IP Attorneys India


The rapid growth of Artificial Intelligence (AI) is a hot topic globally, raising concerns about the management of intellectual property (IP) in this field. While there have been discussions and efforts to address this issue, a definitive solution has yet to be reached. Many are still debating whether works produced by AI should be granted special status, and there are numerous discrepancies when it comes to regulating IP within AI. Questions remain regarding the ownership of patents and copyrights, as well as concerns about infringement and the associated penalties. Despite international agreements and conventions, the law has yet to provide clear guidance on this complex matter, as technology continues to advance. As the use of artificial intelligence continues to expand rapidly around the globe, the issue of intellectual property management in this field is a pressing concern. While there have been ongoing discussions and attempts at regulation, a definitive resolution remains elusive. The question of whether AI-generated creations should be granted special status is still unresolved. The regulation of intellectual property rights within AI has also revealed numerous complexities and inconsistencies. Issues surrounding ownership of patents and copyrights, as well as concerns over infringement and penalties, have yet to be fully addressed. Despite international agreements and conventions, the law has yet to catch up with the ever-evolving technology.



According to the latest Government Research Survey (Oxford Insights and IDRC, 2020), India has thefourth highest number of technology companies after the United States, China and the United Kingdom, and the top three technology companies in business on the Forbes list. Global 2000 shows India's interest in upskilling. The Indian government has taken various measures to promote the use of artificial intelligence by issuing a national artificial intelligence policy. One of these is the National Strategy on Artificial Intelligence, which was announced by the National Transformation Institute of India (NITI) Aayog (government think tank) in 2018. The Ministry of Finance has approved a budget of INR 7,000 crore (US$ 945 million) to NITI Aayog. 2019 - 20247 Creating a cloud computing platform and research institutes called AIRAWAT (Artificial Intelligence Research, Analysis and Information Assimilation) and establishing a high-level structure. The working group at the research organization level oversees the rollout and use of AI in the country. According to the Global AI Spending Guide Forecast, India's AI spending will reach US$ 880.5 million in 2023, with a compound annual growth rate (CAGR) of 30.8% (IDC, 2020.



INTELLECTUAL PROPERTY RIGHTS – IPR, is a set of intangible assets which grants individuals and companies legal ownership which includes inventions, creations, and contributions in their respective fields These rights grant control over the products of their imagination: innovations, written and creative pieces, and trademarks, titles and logos utilized in business. Typically, they provide the inventor with sole ownership over the utilization of their creation for a designated time period, as there is need for protection of knowledge. The IPR is mentioned in the Article 27 of the Universal Declaration of Human Rights. It has several types of intellectual property protection which include patent, copyright, trademark, etc. There was an Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS) which went into effect from January 1, 1995 was between the WORLD TRADE ORGANIZATIONs member states for the proper governance of different forms of the Intellectual Property Rights which are mentioned above. The agreement for the first time brought into the multilateral trading system.Intellectual properties rights in India are governed under the following Acts:

Trade Marks Act, 1999

The Patents Act, 1970 (amendment in 2005)

The Copyright Act, 1957

The Designs Act, 2000

The Geographical Indication of Goods (Registration and Protection) Act, 1999

The Protection of Plant Varieties and Farmers Rights Act, 2001

The Information Technology Act, 2000



Artificial Intelligence in India has paved the way through huge advancements not only in sectors of entertainment or social media but has also entered retail. But still lacks proper guidance and regulations. With proper thoughtful evolution of Intellectual Property Rights rules, India can harness Artificial Intelligence’s potential while safeguarding the human interest. IntellectualProperty laws in many jurisdiction grants rights only to ‘Persons’. However, it is still difficult for the work permit to be independently generated by AI without any or least human input and without the support of Civil or Judicial Law



Patents play an important role in protecting new inventions, promoting progress and encouraging innovation. Section 2(p) of the Indian Patent Act, 1970 refers to the terms "patent holder" and "interested person" which imposes clear limitations on the inclusion of intellectual property within its ambit. This rule prohibits any person other than the individual from being identified as the patent owner. Some of the problems that may arise in the current framework are that ideas generated by AI may not meet legal standards for patentability, such as licensing or non-obviousness. Poor decisions often require human judgment, making it difficult for AI systems to evaluate the novelty of ideas. Patents are considered an important way to measure innovation and should be used to promote and support the country's intellectual property. To understand the AI patent landscape in India, NASSCOM and INDIA ai conducted a detailed research and analysis. INDIAai is the hub of all things intellectual in India and beyond.AI innovation has gained momentum in the last decade; India ranked eighth in artificial intelligence patent applications and fourth in artificial intelligence research data.



Trademark law eliminates disputes regarding the logo, appearance or packaging or other signs that identify the name or company so that people do not confuse the goods used. It is difficult to determine how intellectual property will violate labor laws and problems such as patents and copyright arise. There is a problem of illegal trade in intellectual property. Louis Vuitton v. Google France has issues with keyword advertising and automatic selection by Google, which allegedly infringe the plaintiff's trademark rights.

But the court said this would not be illegal as long as the group was not involved. Lush V. Amazon highlights the need to develop legal frameworks and find solutions to future challenges. Lush does not allow Amazon to sell its products on the site. Through the auction process, Amazon purchased the keyword "Lush". Therefore, even when you search for Lush via Google, Amazon ads will be shown. Even though there are no sales on the site, artificial intelligence still shows similar products according to search terms. Lush filed a copyright lawsuit and the court found Amazon guilty.

This situation will get worse as artificial intelligence increases in stores and business models, security and payments. worse. The situation could get worse if there are AI clients. Artificial intelligence is based on algorithms and uses data to analyze predefined options. If artificial intelligence becomes a consumer, confusion will arise in the business world and this may lead to lawsuits.

There is no law regarding this in any country and some regulations need to be implemented now to prevent conflicts in the coming years.



AI has now demonstrated its ability to provide sophisticated answers to everyday business problems. This technology has been around since years. Large volumes of data can be handled swiftly and efficiently, and the most optimal solution may be analysed. Thanks to AI-assisted advanced solutions, strategists no longer have to worry about finding a competitive analysis for patents, which was a burdensome aspect of day-to-day IP management chores where analysts had to spend hours and days conducting a relevant search for patents. However, as AI develops at a faster pace, there comes a point at which managing such large databases for IP portfolios and helping people bridge the gap between technology and protection become more difficult.

in AI-related IPR legislation depend on international cooperation and collaboration. In conclusion, comprehensive and flexible IPR laws are desperately needed as AI technology in India evolves in order to govern the rapidly changing AI innovation landscape and balance the interests of inventors, companies, and society at large.



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Gupta, S. (2022, April 12). The future of IP laws and how AI will affect IP laws? MUDS.

Acharya, Y. (2022, July 28). Impact of artificial intelligence in the realm of intellectual property rights. The Legal Vidya

Khurana and Khurana, Advocates and IP Attorneys

About the Firm

Khurana and Khurana, Advocates and IP Attorneys

AddressD-45, UPSIDC, Site IV, Kasna Road, Greater Noida - 201308, National Capital Region, India
Tel91-120-313 2513, 91-120-350 5740
Contact PersonTarun Khurana

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