OpenAI is anticipating that Donald Trump's AI Action Plan, set for release in July, will resolve copyright issues by classifying AI training as fair use. This would grant AI firms unrestricted access to essential training data, which OpenAI argues is vital for maintaining a competitive edge against China in the AI arena. Presently, courts are deliberating the fairness of AI training under copyright laws, as rights holders contend that AI models utilizing their works may undermine their markets and dilute overall creative output. OpenAI is embroiled in numerous lawsuits with rights holders, asserting that its AI transforms copyrighted materials and does not produce substitutes for original works. A significant ruling has previously sided with rights holders, declaring AI training as not fair use due to its market threat to companies like Thomson-Reuters' Westlaw. In light of this, OpenAI is seeking Trump’s influence to prevent unfavorable rulings in its ongoing legal battles, including a major case with The New York Times. OpenAI contends that its models are designed not to replicate but to learn patterns and insights from existing works, thereby aligning with the principles of copyright and fair use. To strengthen the AI industry, OpenAI suggested that the U. S. should shift its copyright approach to support AI’s "freedom to learn, " warning that failure to do so could disadvantage American firms in favor of Chinese competitors. OpenAI's recommendations emphasize the need for extensive data access for AI companies to secure leadership in the field. They argue that if China’s developers gain unimpeded data access while U. S.

companies remain constrained, America risks losing the AI competition and the advantages of democratic AI innovation. Additionally, OpenAI highlighted the challenges posed by a multitude of state regulations affecting the AI sector, arguing that many are influenced by restrictive European Union laws, which could stifle innovation and harm national security. They advocate for a federal law to unify regulations and protect AI firms from state-level restrictions, including those related to privacy and election integrity. Furthermore, OpenAI calls for the U. S. to shape international copyright and AI policies to prevent less innovative countries from imposing their legal frameworks on American AI firms, thus hindering progress. They urge the government to evaluate data availability for U. S. AI companies and to address barriers posed by foreign restrictions. With the emergence of advanced AI models like China's DeepSeek, OpenAI stresses the urgency for the Trump administration to adopt these proposals to enhance the U. S. lead in AI development, emphasizing that current advancements are narrowing America's competitive advantage.