Intellectual property rights

IBM triumphs in UK Court over trade secrets

IBM secured a legal victory in the UK on March 10, 2025, after the High Court ruled in its favour against LzLabs. The lawsuit, which IBM filed against the Swiss-based company and its owner, John Moores, centred on accusations of stealing trade secrets. IBM claimed LzLabs’ UK subsidiary, Winsopia, misused its mainframe computer licence to reverse-engineer IBM’s proprietary software.

The court sided with IBM, agreeing that Winsopia had violated the terms of its licence agreement. Judge Finola O’Farrell concluded that LzLabs and Moores had unlawfully facilitated these breaches. Although LzLabs defended its actions, arguing that its software was developed independently over many years, the court ruled that the company had acted inappropriately.

This ruling is seen as a major win for IBM, reinforcing the value of its technological investments. The case, which will proceed to a hearing to determine potential damages, reflects the company’s commitment to protecting its intellectual property. LzLabs and Moores did not immediately comment on the decision.

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Authors challenge Meta’s use of their books in AI training

A lawsuit filed by authors Richard Kadrey, Sarah Silverman, and Ta-Nehisi Coates against Meta has taken a significant step forward as a federal judge has ruled that the case will continue.

The authors allege that Meta used their books to train its Llama AI models without consent, violating their intellectual property rights.

They further claim that Meta intentionally removed copyright management information (CMI) from the works to conceal the alleged infringement.

Meta, however, defends its actions, arguing that the training of AI models qualifies as fair use and that the authors lack standing to sue.

Despite this, the judge allowed the lawsuit to move ahead, acknowledging that the authors’ claims suggest concrete injury, specifically regarding the removal of CMI to hide the use of copyrighted works.

While the lawsuit touches on several legal points, the judge dismissed claims related to the California Comprehensive Computer Data Access and Fraud Act, stating that there was no evidence of Meta accessing the authors’ computers or servers.

Meta’s defence team has continued to assert that the AI training practices were legally sound, though the ongoing case will likely provide more insight into the company’s stance on copyright.

The ruling adds to the growing list of copyright-related lawsuits involving AI models, including one filed by The New York Times against OpenAI. As the debate around AI and intellectual property rights intensifies, this case could set important precedents.

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UK artists raise alarm over AI law proposals

A new proposal by the UK government to alter copyright laws has sparked significant concern among artists, particularly in Devon. The changes would allow AI companies to use the content found on the internet, including artwork, to help train their models unless the creators opt-out. Artists like Sarah McIntyre, an illustrator from Bovey Tracey, argue that such a shift could undermine their rights, making it harder for them to control the use of their work and potentially depriving them of income.

The Devon Artist Network has expressed strong opposition to these plans, warning that they could have a devastating impact on creative industries. They believe that creators should retain control over their work, without needing to actively opt out of its use by AI. While some, like Mike Phillips from the University of Plymouth in the UK, suggest that AI could help artists track copyright violations, the majority of artists remain wary of the proposed changes.

The Department for Science, Innovation and Technology has acknowledged the concerns and confirmed that no decisions have yet been made. However, it has stated that the current copyright framework is limiting the potential of both the creative and AI sectors. As consultations close, the future of the proposal remains uncertain.

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EU plans legislation for car data access

The European Commission is preparing to introduce legislation that would allow insurers, leasing firms, and repair shops greater access to vehicle data.

The proposed law is expected to be published later this year, and it is a response to growing tensions between car service providers, automakers, and tech companies over the control and monetisation of valuable in-vehicle data.

Currently, vehicle data, ranging from driving habits to fuel efficiency, is not clearly defined in European law, leading to disputes over who owns it.

With the connected car market projected to be worth billions in the coming years, the Commission is stepping in to ensure that all sectors of the automotive industry can benefit from this data.

However, carmakers have expressed concerns, warning that the new law could compromise trade secrets and lead to misuse of sensitive information.

The debate has also highlighted fears about the dominance of Big Tech, with companies like Google and Apple already making inroads into car infotainment systems.

The Commission’s proposal could reshape the landscape by offering more equitable access to the data that is crucial for developing new products and services.

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Microsoft executive says firms are lagging in AI adoption

Microsoft’s UK boss has warned that many companies are ‘stuck in neutral’ when it comes to AI, with a significant number of private and public sector organisations lacking any formal AI strategy. According to a Microsoft survey of nearly 1,500 senior leaders and 1,440 employees in the UK, more than half of executives report that their organisations have no official AI plan. Additionally, many recognise a growing productivity gap between employees using AI and those who are not.

Darren Hardman, Microsoft’s UK chief executive, stated that some companies are caught in the experimentation phase rather than fully deploying AI. Microsoft, a major backer of OpenAI, has been promoting AI deployment in workplaces through autonomous AI agents designed to perform tasks without human intervention. Early adopters, like consulting giant McKinsey, are already using AI agents for tasks such as scheduling meetings.

Hardman also discussed AI’s potential impact on jobs, with the Tony Blair Institute estimating that AI could displace up to 3 million UK jobs, though the net job loss will likely be much lower as new roles are created. He compared AI’s transformative impact on the workplace to how the internet revolutionised retail, creating roles like data analysts and social media managers. Hardman also backed proposed UK copyright law reforms, which would allow tech companies to use copyright-protected work for training AI models, arguing that the changes could drive economic growth and support AI development.

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UK Court rules in favour of Lenovo in patent battle

Lenovo has won an appeal in a UK court that will allow it to secure a temporary licence for Ericsson’s patents, marking a significant development in the ongoing patent dispute between the two companies.

The case, which revolves around fair, reasonable, and non-discriminatory (FRAND) licensing terms for 4G and 5G wireless technology, has seen both companies take legal action in various countries, including the UK, Brazil, and the US.

In his ruling, Judge Richard Arnold determined that Ericsson had failed to act in good faith by pursuing legal claims in foreign courts despite Lenovo’s willingness to accept the FRAND terms set by the English courts.

He stated that, as a willing licensor, Ericsson should have agreed to an interim licence, with Lenovo being required to pay a substantial sum to Ericsson. Lenovo’s Chief Legal Officer hailed the decision as a victory for transparency and fairness in global patent licensing.

The ruling follows Lenovo’s 2023 lawsuit against Ericsson in the UK, a part of the broader dispute between the two over the terms for the use of each other’s patents. Ericsson has yet to comment on the decision.

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Canada to charge Google for news law enforcement

Canada’s telecommunications regulator, the CRTC, announced on Wednesday that it will impose a fee on Google to cover the costs of enforcing the Online News Act, which requires large tech platforms to pay for news content shared on their sites. The levy, which will be implemented from April 1, will vary each year and has no upper limit. This move comes amid rising tensions between Canada and the US over issues like trade and a digital services tax on American tech firms.

The CRTC stated that most of its operations are funded by fees from the companies it regulates, and the new charge aims to recover costs related to the law. Google, which had previously raised concerns about the fairness of such a rule, had argued that it was unreasonable to impose 100% of the costs on one company. Despite this, Google has agreed to pay C$100 million annually to Canadian publishers in a deal that ensures its search results continue to feature news content.

The law, which is part of a global trend to make internet giants pay for news, was introduced last year in response to concerns that tech firms were crowding out news businesses in the online advertising market. While both Google and Meta were identified as major platforms required to make payments, Meta chose to block news from its platforms in Canada instead. Google, however, has continued to negotiate with the Canadian government, although it has yet to comment further on the CRTC’s decision.

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Meta faces lawsuit over hiring practices

A US judge ruled that Meta must face a lawsuit alleging it prioritises hiring foreign workers to pay them lower wages. The proposed class action involves three US citizens who claim they were repeatedly rejected despite being qualified for roles at the company.

The plaintiffs argue that Meta systematically favours visa holders, citing statistics showing a significant portion of its US workforce holds H-1B visas. The company denies the claims, stating there is no evidence of intentional discrimination or that the plaintiffs would have been hired otherwise.

A 2021 settlement saw Meta agree to pay up to $14.25 million over similar government allegations. The latest ruling follows a 2023 appeals court decision, which cited a Civil War-era law protecting US citizens from discrimination in contracts.

Plaintiffs hope the lawsuit will expose widespread hiring biases in the tech sector. Their legal team suggests further enforcement or legislative action may be necessary to address the issue.

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Google faces lawsuit over AI search impact on publishers

An online education company has filed a lawsuit against Google, claiming its AI-generated search overviews are damaging digital publishing.

Chegg alleges the technology reduces demand for original content by keeping users on Google’s platform, ultimately eroding financial incentives for publishers. The company warns this could lead to a weaker online information ecosystem.

Chegg, which provides textbook rentals and homework help, says Google’s AI features have contributed to a drop in traffic and subscribers.

As a result, the company is considering a sale or a move to go private. Chegg’s CEO Nathan Schultz argues Google is profiting from the company’s content without proper compensation, threatening the future of quality educational resources.

A Google spokesperson rejected the claims, insisting AI overviews enhance search and create more opportunities for content discovery. The company maintains that search traffic remains strong, with billions of clicks sent to websites daily.

However, Chegg argues that Google’s dominance in online search allows it to pressure publishers into providing data for AI summaries, leading to fewer visitors to original sites.

The lawsuit marks the first time an individual company has accused Google of antitrust violations over AI-generated search features. A similar case was previously filed on behalf of the news industry. A US judge overseeing another case involving Google’s search monopoly is handling this lawsuit as well.

Google intends to challenge the claims and is appealing a previous ruling that found it held an illegal monopoly in online search.

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Silent album released to challenge UK AI copyright reforms

More than 1,000 musicians have joined forces to release a silent album as part of a protest against the UK government’s proposed changes to copyright laws. The changes would allow AI companies to use artists’ work to train models without needing permission, a move critics argue would undermine creators’ rights. The silent album, titled ‘Is This What We Want?’, features empty studios and performance spaces, symbolising the potential loss of control over their work.

The changes have sparked outrage from high-profile artists such as Kate Bush, who warned that this could lead to the exploitation of musicians by tech companies. The protest album, which includes contributions from other major artists like Ed Sheeran and Dua Lipa, aims to highlight the negative impact of such reforms on the livelihoods of creators.

The UK government argues that these changes will help boost the AI and creative industries, allowing them to reach their full potential. However, the controversy over copyright law is growing, with many in the music industry urging a rethink before any new regulations are finalised.

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