Artificial intelligence (AI) is transforming industries, from streamlining logistics to revolutionising healthcare and beyond. Today, AI can single-handedly manage your entire inbox or manage your entire customer service.
With AI dominating the race for superior technology, the world can't help but regard it as the "Fourth Industrial Revolution" and embrace it in all its glory. As a result, patent rights for AI are becoming increasingly valuable and contested. In Australia, the legal framework surrounding AI patents is constantly evolving to keep up with this rapidly advancing technology.
Understanding AI and Patents
Patents are a form of intellectual property that grant inventors exclusive rights to use, manufacture, and sell their invention for a set period of time. Traditionally, patents are granted to individuals or companies that create new, useful, and innovative products or processes.
However, the challenge with AI lies in its ability to autonomously create new inventions or improve existing processes. This brings forth questions like:
- Who is the rightful inventor? Is it the individual who built the AI system or the AI itself?
- Can an AI system be recognised as an inventor under current patent laws?
The Australian Perspective
Australia has been at the forefront of addressing this issue. Notably, in a landmark federal court ruling in 2021, it was determined that an AI system could be named as an inventor for a patent. The case, which revolved around the DABUS AI system, demonstrated Australia’s openness to recognising AI contributions in innovation.
However, this decision was later overturned by the Full Federal Court in 2022, stating that only humans, not machines, could be inventors under current legislation. This ongoing legal debate underscores the complexities of AI patent rights in Australia.
To address issues in ethical use of AI technology, Australia has developed a national AI ethics framework to guide responsible development and use of AI technology. This framework emphasizes principles such as transparency, fairness, and human oversight in the design and deployment of AI systems.
Here's a summary of Australia's take on AI patent rights and ethical use of AI technology:
Can an AI system be recognised as an inventor?
Australia's current legislation considers only humans as inventors, leaving the question of AI-generated inventions unanswered. The ongoing debate surrounding this issue highlights the complexities of determining patent rights for AI technology.
However, to encourage innovation and protect intellectual property, the Australian government has recently introduced a new bill that would allow for patents to be granted for inventions created by both humans and machines. This proposal is still under review and could potentially provide legal clarity on ownership of AI-generated inventions in the future.
What is the Australian Government doing about AI?
Although the Australian government has not yet implemented specific laws regarding AI technology, there have been ongoing discussions and initiatives to address the potential impact of artificial intelligence on society.
In 2019, the government released its AI Ethics Framework, which outlines principles for responsible and ethical use of AI in Australia. This framework aims to promote transparency, accountability, and fairness in the development and deployment of AI systems.
The Australian government created the National AI Centre (NAIC) in 2021 as part of a $124.1 million investment under the AI Action Plan. The goal isto position Australia as a global leader in developing and using trusted, secure, and responsible artificial intelligence.
How are AI Invention Rights in Other Parts of the World?
Around the globe, AI invention rights are being addressed in various ways. In the European Union, AI inventions are subject to traditional intellectual property rights laws, such as patents and copyrights. But just like in Australia, AI cannot be listed as the inventor on these types of applications. Instead, the owner or creator of the AI is considered the inventor and holds all rights to the invention.
In the United States, there is ongoing debate about whether AI should be able to hold intellectual property rights at all. Currently, patents are only granted to human inventors and cannot be obtained by non-natural entities like AI.
In South Africa, a patent has been granted naming an artificial intelligence as the inventor and its owner as the patent holder. The patent was secured by University of Surrey professor Ryan Abbott and his team, who have long pushed for AI recognition as inventors. Abbott represented Dr. Stephen Thaler, creator of an AI system called Dabus, which Thaler claims is the sole inventor of a food container that improves grip and heat transfer.
Nonetheless, the issue of AI inventorship remains controversial and has sparked debate within the legal and scientific communities. Despite the ongoing debate, it is clear that AI is rapidly advancing and its role in society will continue to evolve.
Here's a breakdown of AI invention rights around the globe:
| Region/Country | AI as Inventor Allowed? | AI-Assisted Inventions Allowed? | Notes |
| USA | ❌ No | ✅ Yes | Must name a human |
| UK | ❌ No | ✅ Yes | Courts have affirmed human-only rule |
| EU (EPO) | ❌ No | ✅ Yes | AI cannot be inventor |
| Australia | ❌ No (after reversal) | ✅ Yes | AI-as-inventor briefly accepted |
| South Africa | ✅ Yes | ✅ Yes | Only jurisdiction to allow AI inventor |
| China | ❌ No | ✅ Yes | Pro-AI policy trends |
| Japan | ❌ No | ✅ Yes | Inventive contribution by humans required |
The Role of Patent Lawyers and Attorneys
Navigating the complexities of AI patent rights requires expert guidance. A patent lawyer or attorney can be instrumental in:
- Assessing Patent Eligibility: Determining whether your AI-driven invention meets the criteria for patent protection.
- Drafting Comprehensive Applications: Ensuring all aspects of your invention are accurately and clearly described in your application.
- Avoiding Legal Pitfalls: Mitigating risks related to ownership disputes or application errors.
For businesses operating in Australia, engaging a professional patent attorney is key to leveraging the country's legal framework for AI innovations.
Protecting the Future of Innovation
AI is reshaping the world, and the way we approach intellectual property must adapt accordingly. For businesses and inventors, understanding and protecting AI patent rights is more than a legal necessity; it’s a strategy for long-term success.
By working with a trusted patent attorney, you can ensure that your groundbreaking innovations are safeguarded, allowing you to focus on what you do best—pushing the boundaries of what’s possible.
Whether you’re in the early stages of developing AI technology or already have a market-ready innovation, consider scheduling a consultation with patent lawyer to secure your competitive advantage in a rapidly evolving landscape.
