ADVOCACY:: AI Copyright Reform Threatens Design Industry

AI Copyright Reforms in Australia

The Authentic Design Alliance has lodged a formal submission to the Productivity Commission’s AI Copyright Inquiry, objecting to proposed AI copyright reforms in Australia.

Read it in full to understand why urgent action is needed to protect Australia’s design and creative industries (at the end of this post).

“Allowing AI to freely mine Australian creative work would hand our nation’s design IP to global tech giants for nothing in return. This isn’t innovation — it’s exploitation dressed up as progress.

If the proposed reforms go ahead, replicas and counterfeits will replace authentic Australian design, and local manufacturing jobs will vanish.

We must protect creativity, not commodify it.”
Authentic Design Alliance

AI Copyright Inquiry: A Turning Point for Australian Design

The Productivity Commission’s inquiry into AI and copyright reform could reshape the future of Australian creativity. The proposal would let AI systems use copyrighted material, including photography, drawings, and design content, without asking permission or paying creators.

During recent parliamentary hearings, many industry bodies raised strong objections.

The Authentic Design Alliance (ADA) joined organisations such as the Australian Society of Authors and the Publishers Association in calling for urgent reform. Together, they warned that this change could hand global tech companies unrestricted access to local creative work.

“All AI usage of mining or searching or going across data is probably illegal under Australian law and I think that hurts a lot of investment of these companies in Australia.”

Scott Farquhar, Atlassian Co-founder, arguing for US-style copyright reform to enable AI access to creative works

Key Issues to Understand

Proposed AI copyright reforms will:

Weaken already limited copyright protection for creators and brands.
Enable mass scraping of original images, drawings, and product designs.
Expose the growing Australian manufacturing sector to cheaper overseas copies.
Hand Australian design IP to foreign markets for easy reproduction.
Threaten small-batch and bespoke makers whose unique works are currently safeguarded.

These changes would give tech companies a free pass while leaving creative professionals exposed. The result? More replicas, fewer opportunities, and less value placed on original Australian design.

“The Authentic Design Alliance warns that the proposed changes would erode creative rights, encourage replica production, and weaken Australia’s cultural and economic integrity.”

Why This Matters Now

Australia’s design and manufacturing industries are finally rebuilding momentum. More consumers are choosing locally made and sustainable products. This shift supports jobs, skills, and community pride.

If AI companies can mine creative work without permission, those gains will vanish.

Replicas will replace authentic products, and imported copies will undercut local businesses. This reform would damage trust between designers, clients, and makers — and reverse efforts to rebuild sovereign manufacturing.

“The MEAA said any rolling back of copyright law would ‘effectively enable a transfer of resources from Australian creatives to mostly foreign big tech companies, with no chance of compensation’”

Erin Madeley, MEAA (Media, Entertainment & Arts Alliance)

The ADA’s Position

The Authentic Design Alliance has formally opposed the proposed Text and Data Mining (TDM) exception. Our submission urges the Productivity Commission to:

Reject the TDM exception.
Require creator consent before any copyrighted work is used.
Introduce a licensing framework so creators receive fair compensation.
Protect bespoke and small-batch makers from exploitation.
Align reforms with international best practice to uphold strong IP standards.

These steps would support innovation without sacrificing creative integrity.

“Australia must protect creativity, not give it away to global tech giants for free.”
— Authentic Design Alliance

What Happens Next

The consultation period closed on 15 September 2025. The Commission will now review submissions and present its final recommendations to the government later this year.

“Letting AI scrape Australian creative work without consent isn’t innovation — it’s exploitation.”
— Authentic Design Alliance

The ADA will continue to advocate for fair, balanced laws that protect Australian design, creativity, and manufacturing. This is not just a policy issue — it’s about safeguarding the future of our creative economy.

“If these reforms pass, replicas will replace authentic design and local jobs will disappear.”— Authentic Design Alliance