Archive: October 2024

In response to the rapid development of artificial intelligence (AI) technologies, the Cyberspace Administration of China (the CAC) recently issued two draft regulations for public consultation: Measures for Labelling Artificial Intelligence-Generated or Synthetic Content (the Draft AI Labelling Measures) and Cybersecurity technology—Labelling method for content generated by artificial intelligence (the Draft Labelling Method Standard). The Draft Labelling Method Standard is a mandatory national standard which serves as the supporting and implementing rule of the AI Labelling Measures. Both regulations aim to address deepfake-related risks and ensure the authenticity and credibility of publicly available information.

Lord Clement-Jones has introduced a Public Authority Algorithmic and Automated Decision-Making Systems Private Members' Bill (Bill) into the House of Lords. Currently at the second reading stage, the Bill addresses increasing reliance on AI and algorithmic systems by public authorities in the UK, and aims to mitigate the potential risks associated with their use. The Bill would establish significant new guidelines for the development, deployment, and monitoring of such systems.

M&A in the technology, media and telecommunications (TMT) sector has remained relatively subdued so far this year, with many of the factors identified in our Spring M&A Outlook having persisted into 2024. However, while dealmaking may not have got off to a racing start, the remainder of the year shows signs of improving market conditions with the potential to prompt increased activity levels during the coming months.

Earlier this year we looked at trends in M&A investment in the technology sector, highlighting the TMT sector was the best performing sector in 2023 in terms of deal value and volume. The sector has remained fairly subdued this year, but are there signs this could be changing? We explore with our colleagues in the UK, Europe and China the outlook for the sector in their regions, and the impact of regulation on M&A investment in the tech sector.

The Hamburg Regional Court has ruled in favor of LAION in the case of Robert Kneschke v LAION e.V., finding that the use by LAION – a non-profit organisation - of Kneschke’s photo for AI training benefited from the exception to copyright infringement for text and data mining for the purpose of scientific research under Section 60d UrhG (implementing Article 3 of the EU Copyright Directive).