The Australian Government has formally ruled out introducing a Text and Data Mining (TDM) exception to copyright law—blocking a move that would have allowed tech companies to scrape and use Australian creative works to train AI models without permission.
Communications Minister Michelle Rowland confirmed the decision on Sunday, saying copyright protections would remain strong and enforceable.
“This Government has repeatedly said there are no plans to weaken copyright protections when it comes to AI,” Rowland said. “The tech industry and the creative sector must now work together on sensible solutions that support innovation while ensuring creators are compensated.”
The proposed exception was originally floated by the Productivity Commission last August as part of a push to boost national productivity. The Commission claimed AI could lift GDP by up to $116 billion over the next decade, recommending amendments to the Copyright Act 1968 to allow “fair use” of Australian content for AI training.
The decision has been welcomed across media, music and screen industries, which feared the TDM exception would allow AI firms to exploit Australian intellectual property without payment or consent.
News Corp Australasia chair Michael Miller said the decision protects Australian creators and encourages AI companies to license content rather than take it.
“By upholding the creator’s right to control access and payment, this reinforces that copyright law ensures fair market outcomes,” Miller said. “This announcement secures a sustainable future for Australian culture and creativity.”
Annabelle Herd, CEO of ARIA and the PPCA, called it a landmark moment:
“This decision confirms that consent, control and compensation must remain at the heart of copyright in the age of AI. No industry should have the right to take creative work without permission.”
Free TV Australia CEO Bridget Fair said a TDM loophole would have “legitimised content theft”:
“The Government has recognised that we don’t need to weaken copyright to drive innovation. Licensing is the right pathway.”
Not everyone opposed the TDM proposal. Atlassian co-founder Scott Farquhar argued it would unlock investment and AI innovation in Australia. However, opponents—including music, film, book publishing and news organisations—warned it would undermine Australia’s cultural and economic sovereignty.
The Government’s Copyright and AI Reference Group (CAIRG) will meet this week to examine:
- Legal pathways for licensed AI training
- Whether copyright law needs updating for AI-generated material
- Affordable enforcement options for rights holders
Rowland said AI presents major opportunities but creators must not be left behind:
“Australian creatives are world-class and the lifeblood of our culture. The right legal protections must be in place.”
