The pontiff’s encyclical letter—a text that is poised to define Leo’s papacy—reads like a sharp warning to Silicon Valley executives and humanity more broadly about the future of civilization as new technologies rapidly advance. The risk, he said, is that humans will be reduced “to mere cogs in a system driven toward ever greater efficiency.” Leo used two biblical images to describe the choice humanity faces.
Source: Pope Leo Compares AI Threat to Biblical ‘Tower of Babel’
KBRA says in a new report that it has rated more than $12.9 billion in music royalty bonds since 2020 alone. But it expects music ABS issuance to fall by approximately 25% in 2026, dropping from over $3.3 billion in each of the past two years to slightly more than $2.5 billion – “primarily because of continued issuer consolidation.” KBRA noted that consolidation “may have mixed implications for music ABS, potentially improving collateral diversification and servicing scale while reducing issuance activity.”
Source: KBRA expects music-royalty backed bonds issuance to fall 25% in 2026
The European Commission is working on a law focused on the process for licensing creative content – like writing or art – to AI developers, according to a consultation published on Wednesday. the EU’s executive laid out plans for a “targeted legislative initiative” to complement existing copyright rules. This will weigh different possible levels of intervention, according to the consultation.
Source: EU Commission preparing law on licensing content for AI
OpenAI said it will discontinue Sora, the generative-AI video creation app it launched last year, without providing a reason for the decision. “We’re saying goodbye to Sora. To everyone who created with Sora, shared it, and built community around it: thank you,” OpenAI’s Sora team said in a statement Tuesday. The announcement comes just three months after Disney inked a groundbreaking deal with OpenAI.
Source: OpenAI Will Shut Down Sora Video App; Disney Drops Plans for $1 Billion Investment
The UK government has backtracked on its position on copyright and AI, stating it must take time to “get this right”. Its original position – allowing AI companies to use copyrighted works to train their models with an opt-out option – received major backlash from the likes of Sir Elton John and Dua Lipa. “We have listened,” Technology Secretary Liz Kendall said on Wednesday, saying the government no longer favours that approach.
Source: UK Government backtracks on AI and copyright after outcry from major artists
The world’s top AI models can be prompted to generate near-verbatim copies of bestselling novels, raising fresh questions about the industry’s claim that its systems do not store copyrighted works. A series of recent studies has shown that large language models from OpenAI, Google, Meta, Anthropic, and xAI memorize far more of their training data than previously thought.
Source: AIs can generate near-verbatim copies of novels from training data
Spotify and Universal announced a new deal that sources say improves the payment structure for the streamer’s controversial music-audiobooks ‘bundle.’ A Spotify rep said in a separate statement, “Spotify maintains its bundle, but with this direct deal [with UMPG], it has evolved to account for broader rights, including a different economic treatment for music and non-music content.”
Source: Spotify and Universal Unveil Far-Reaching Deal That Improves ‘Bundling’ Payment Structure
The stock photo industry has been gasping for air, struggling to adapt to a market that continues to be extremely challenging. Over the past two decades, licensing prices for rights-managed (RM) images have plummeted by 20–50%, while royalty-free (RF) prices have dropped even more sharply, by 50–80%. The rise of microstock and subscription models has driven licensing fees as low as $0.27 per image.
Source: The Shutterstock-Getty Images Merger: A Bold Move in a Shifting Landscape – Kaptur
California Gov. Gavin Newsom visited SAG-AFTRA headquarters on Monday to sign two bills regulating the use of performances generated by artificial intelligence. The actors’ union lobbied for passage of the legislation, which builds on the protections won during the four-month actors’ strike against the major studios last year.
Source: Gov. Gavin Newsom Signs AI Bills Backed by SAG-AFTRA
The Justice Department’s chief antitrust enforcer issued a warning Thursday to tech companies working in artificial intelligence, cautioning that they could face action from regulators if they don’t find a way to fairly compensate artists, entertainers and other creators.
Source: DOJ antitrust chief warns AI companies that they must fairly compensate artists