Artificial intelligence (AI) is transforming the way companies develop, deploy, and license technology. But with that transformation comes new intellectual property (IP) challenges that extend far beyond traditional software licensing. Issues around ownership of AI-generated outputs, use of training data, liability for infringement, and confidentiality must be carefully addressed in contracts to avoid costly disputes.

As regulators from Brussels to Washington expand oversight, and as investors increasingly demand IP and data security diligence in AI-heavy businesses, contracts are becoming the frontline defense for companies seeking to harness AI without jeopardizing IP assets. AI licensing is not just “software-plus” but a distinct risk class.

Recent lawsuits—such as Getty Images v. St

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