A proposed update to the NO FAKES Act has sparked controversy within the AI community due to a specific provision regarding digital fingerprinting. While the bill aims to protect individuals’ likenesses from unauthorized AI replication, legal experts suggest the broad definition of ‘digital fingerprint’ could inadvertently trap open-source models.
Under the new language, the technology used to detect unauthorized replicas—often requiring complex watermarking or identification systems—could face strict liability or regulation. Critics argue this creates an impossible burden for open-source developers, who lack the resources to implement and maintain sophisticated DRM-like tracking systems within their weights.
Ultimately, this might force hobbyist and non-profit AI projects to shut down or move to jurisdictions with less restrictive oversight, effectively centralizing AI development further into the hands of major tech giants.
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