The impact of the “Tech Prosperity Deal” on AI, copyright and the arts
Writing in The Times, Partner Nick Eziefula examines the UK–US “Tech Prosperity Deal”, announced during President Trump’s state visit, and its implications for copyright, AI regulation and the creative industries.
The Red Arrows’ aerobatics were not the only feats of agility during President Trump’s recent state visit: Prime Minister Keir Starmer skilfully walked the political tightrope. But will he stick the landing?
At the leaders’ joint press conference, three words emblazoned on the podium made their joint mission clear – “TECH PROSPERITY DEAL”. According to the UK government, £150bn worth of investment has been secured from US firms, including tech giants Microsoft and Google, with AI a key focus.
But trade agreements involve a delicate balancing act. In an open letter alleging widespread copyright infringement by AI platforms, high-profile stars and media/entertainment organisations recently demanded government action to protect their rights.
The government must weigh supporting technological development against safeguarding creativity. Previously, its proposed solution was an opt-out mechanism: a copyright exception permitting material to be used for AI training, except where the rights-holder has opted out. This proposal was withdrawn following outcry from the creative sector, yet may resurface.
Regardless, the horse has already bolted: many AI platforms have apparently ingested large numbers of copyright works without permission. Policing an opt-out mechanism retrospectively is difficult; doing so without transparency over input material is impossible.
Hence copyright owners’ insistence that AI platforms be forced to disclose which works their models are trained on. Many in the creative sector were disappointed when the government excluded such transparency obligations from the recent Data (Use and Access) Act.
Tensions between sectors should not, however, be overstated. AI platforms – at least those seeking to comply with copyright law – are not simply the enemy of the creative industries. Music rights-holders, for example, whilst demanding protection against unauthorised use of their repertoire, are nevertheless keen to partner with lawful AI developers to pursue new revenue streams.
There is perhaps a common enemy: unscrupulous operators unlawfully using creative material without permission. Arguably, copyright lawsuits against infringing platforms (like the RIAA’s actions against Suno and Udio) do not protect only rights-holders; they also enable lawful operators to establish a business model.
Despite the opportunities for large-scale rights-holders, individual creatives and their teams remain concerned. In challenging times, it is already hard to stay afloat. Now they also swim against a torrent of artificially created music: streaming company Deezer recently revealed that around 28% of tracks being uploaded to its platform appear to be entirely AI-generated.
So, what impact might the Tech Prosperity Deal have? Will the US and UK governments underline, or undermine, existing copyright law principles? Their leaders’ recent show of solidarity indicated that they may be more aligned than some thought. Hopefully, their accord, and subsequent governmental steps, will help foster another special relationship between the technology and media/entertainment sectors - one that benefits all concerned.
Nick’s article was published in The Times, 2 October 2025, and can be found here.
