If that’s how the court interpreted it, then the software industry is hosed, since that’d mean none of the generated code running in production right now is under any sort of copyright or otherwise protection, lol.
If a deterministic machine transformation from a copyrightable prompt results in an uncopyrightable image, what do you think a compiler is doing to source code?
a compiler on the other hand is generally pretty deterministic. The non determinism that we see in output is usually non determinism (such as generated dates) in the code that it consumes.
Correct, the jurisprudence there hasn't changed.
If you have a substantial amount of backend code (as with most SaaS projects) you're never actually distributing the code, and copyright is never at play. Computer generated artifacts are already in this boat and are protected by virtue of being trade secrets not by copyright.
This could maybe be true of shipping javascript to the browser, which presumably is not going to qualify as a trande secret, but I don't think that's where most companies derive value.
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(1) to reproduce the copyrighted work in copies or phonorecords;
(2) to prepare derivative works based upon the copyrighted work;
(3) to distribute copies or phonorecords of the copyrighted work to the public by sale or other transfer of ownership, or by rental, lease, or lending;
(4) in the case of literary, musical, dramatic, and choreographic works, pantomimes, and motion pictures and other audiovisual works, to perform the copyrighted work publicly;
(5) in the case of literary, musical, dramatic, and choreographic works, pantomimes, and pictorial, graphic, or sculptural works, including the individual images of a motion picture or other audiovisual work, to display the copyrighted work publicly; and
(6) in the case of sound recordings, to perform the copyrighted work publicly by means of a digital audio transmission.
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OTOH, distributing copies created in violation of copyright is a good way to cause legally-cognizable harms to the copyright holder that will increase the potential damage award when you are found liable for copyright infringement, and it also makes it much more likely that someone will notice the infringement in the first place. But its not where the law, on its own terms, begins to apply. Doing any of those without permission (unless it falls into one of the exceptions to copyright protection, like fair use) is a violation of copyright.
Do you mean that a work has to be published prior to registration? What do you mean by "copyright applies to distribution"?
Access to the service is already governed by computer access laws, which don't depend on copyright. And if you never intentionally distributed your code outside of your org, you can call it a trade secret and nobody else has any legitimate right to access it - whether or not it is copyrightable.
There are other things that aren't copyrightable that are trade secrets already. This would be true of any kind of automated data collection for example. You couldn't copyright it but you can call it a trade secret.
And for any of that stuff, if you want to share it and limit distribution, you just have whoever wants access explicitly agree to be bound by contract law.