What is the ITC's role in investigating unfair import practices?

The ITC investigates unfair import practices, including intellectual property infringement, under Section 337 and can issue exclusion orders against infringing products.

How do electronic AI software imports affect ITC jurisdiction?

AI software transmitted electronically may fall outside the ITC's authority, unlike software integrated into imported physical products, due to jurisdictional challenges.

What is the impact of the ClearCorrect ruling on AI training data imports?

The ClearCorrect ruling limits the ITC's authority over digital imports, creating obstacles for addressing infringement claims related to digital AI training data.

Home / Business and Economy / AI Tech Faces ITC Import Scrutiny

AI Tech Faces ITC Import Scrutiny

2 Feb

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Summary

ITC investigates unfair import practices under Section 337.
AI software sent electronically faces jurisdictional issues.
ClearCorrect ruling impacts digital AI training data imports.

The US International Trade Commission (ITC) plays a crucial role in investigating unfair import practices under Section 337, offering powerful remedies like exclusion orders against infringing products. This often involves allegations of federal intellectual property rights infringement.

However, the importation of AI technologies, particularly software delivered electronically, poses unique jurisdictional hurdles. A key challenge stems from the Federal Circuit's ClearCorrect decision, which limited the ITC's authority over purely digital imports, deeming electronic transmissions not to be "articles" under Section 337.

This precedent significantly impacts AI training data and software. Complainants might need to incorporate physical components or emphasize hardware associations to circumvent jurisdictional challenges. While the recent Loper Bright decision shifts statutory interpretation authority, its impact on ClearCorrect remains uncertain, suggesting a continued need for strategic approaches in ITC litigation for AI innovations.