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The US Copyright Office is in turmoil following the dismissal of Register of Copyrights Shira Perlmutter by the Trump administration. Her firing comes on the heels of a pre-publication report examining the thorny issue of fair use in AI training. The report reportedly suggested that the commercial use of copyrighted material to train artificial intelligence models might not fall under the umbrella of ‘fair use,’ a conclusion that could have significant ramifications for the AI industry.

Representative Joe Morelle has condemned the move as an “unprecedented power grab,” directly tying the dismissal to the contentious report and mentioning Elon Musk’s AI-related activities. The report itself has ignited a firestorm of debate, with some industry observers viewing it as a potential obstacle to the continued growth and innovation of AI companies.

While the White House has remained silent on the matter, President Trump has amplified commentary on social media accusing tech companies of exploiting creators’ copyrights for the benefit of their AI endeavors. Adding further fuel to the fire, the dismissal coincides with the firing of Librarian of Congress Carla Hayden, leading to speculation about a broader agenda. The situation raises serious questions about the future balance between copyright protection and the rapid advancement of artificial intelligence.