Welcome to AI Entrepreneurs

The AI industry is at a turning point: OpenAI and Microsoft are investigating DeepSeek for using proprietary models, the U.S. is restricting Nvidia’s AI chip exports due to China’s advancements, and Alibaba’s Qwen 2.5 claims to surpass GPT-4o. The U.S. Copyright Office is defining AI content boundaries, AI is transforming healthcare, and the EU is debating its AI strategy's impact on innovation. Staying ahead in the global AI race is crucial.

AI & COPYRIGHT

U.S. Copyright Office Defines Generative AI Boundaries

The U.S. Copyright Office’s Part 2 report on Copyright and Artificial Intelligence, released on January 29, 2025, examines whether AI-generated content qualifies for copyright protection. The report affirms that only works created with "sufficient human authorship" are eligible, reinforcing that fully AI-generated outputs lack copyrightability under U.S. law. However, it acknowledges a gray area where AI-assisted works—those with human creative input—may qualify for protection depending on the level of human involvement.

This ruling has major implications for businesses, artists, and content creators using generative AI. It sets a precedent for AI-generated media, ensuring that human creativity remains central to copyright law. As AI-generated content becomes more widespread, future legal battles will likely focus on defining the threshold of human authorship. Meanwhile, the forthcoming Part 3 report will tackle the controversial issue of AI training data, licensing, and liability—a topic that could reshape AI development and copyright enforcement.

AI CHIPS WAR

US Tightens Nvidia AI Chip Controls as DeepSeek Gains Ground

The Trump administration is considering stricter export controls on Nvidia’s H20 AI chips following the release of DeepSeek’s R1 model, which has shaken up the AI industry. According to a Bloomberg report, officials may ban H20 chip exports to China, marking the fourth such restriction since 2022. Nvidia, which designed the H20 as a scaled-down version of its H100 processor to comply with U.S. sanctions, could face further revenue losses if the crackdown proceeds.

However, previous U.S. AI chip restrictions on China have backfired, pushing Chinese firms to develop domestic AI solutions using weaker semiconductors and cloud-based workarounds. Despite the 2023 expansion of export controls, Chinese state-affiliated companies have bypassed sanctions via cloud computing platforms like AWS, raising questions about the effectiveness of U.S. policies. Critics argue these restrictions weaken U.S. AI competitiveness while failing to prevent China from accessing high-performance computing.

ALIBABA

Alibaba Claims Qwen2.5 Max Outshines DeepSeek and OpenAI in AI Performance

Alibaba has unveiled its latest AI model, Qwen2.5 Max, which it claims surpasses the performance of DeepSeek's AI model and OpenAI's GPT-4o. The model has excelled in benchmarks such as Arena-Hard, LiveBench, and LiveCodeBench, showcasing its efficiency and effectiveness. Qwen2.5 Max utilizes a mixture-of-experts architecture, requiring fewer computational resources compared to traditional approaches.

This announcement has intensified competition in the AI industry, raising concerns about the sustainability of AI investments by U.S. companies. Alibaba's advancements highlight the growing capabilities of Chinese tech firms in the AI space, challenging the dominance of established players like Microsoft and Google.

AI HEALTHTECH INSIDER - Issue #33

AI Breakthroughs in Cancer Drug Trials

Issue #33 highlights how AI is revolutionizing healthcare, featuring President Trump’s $500 billion Project Stargate to transform diagnostics and treatments, Insilico Medicine’s AI-designed cancer drug entering human trials, and an AI tool with 93% accuracy in diagnosing Long Covid in children. Stay ahead with the latest insights shaping the future of medicine—subscribe now!

AI BYTES

YuE: The Open-Source AI Music Tool Challenging Suno & Udio

A new AI-powered music generator, YuE, is making waves as a free alternative to commercial platforms like Suno and Udio. Developed by Ruibin Yuan, YuE transforms lyrics into full-length songs (up to 5 minutes) across multiple languages and musical styles. The system combines two AI models—one for speech and music generation and another for refining song elements—allowing users to customize style, mood, and vocal techniques. Now available on Hugging Face with demos on GitHub, YuE is pushing the boundaries of AI-generated music, with a research paper on its technology in the works.

EU’s AI Push: Innovation or Overregulation?

The European Commission’s Competitiveness Compass aims to drive AI adoption, innovation, and economic growth by reducing dependencies and boosting manufacturing. While the EU pledges to cut red tape and simplify regulations to save businesses billions, critics warn that heavy regulation could stifle progress. The debate continues on whether AI growth needs more incentives or fewer restrictions.

OpenAI & Microsoft Investigate DeepSeek’s Alleged Model Distillation

OpenAI and Microsoft are investigating claims that Chinese AI startup DeepSeek utilized a technique called "distillation" to train its open-source AI model, R1, using outputs from proprietary models. This method allows a new model to learn from the outputs of an existing one, potentially reducing development costs. The investigation has raised concerns about data security and the protection of proprietary AI technologies. In response, OpenAI has blocked accounts suspected of violating its terms of service.

AI CREATIVITY

How to Access and Use Alibaba Qwen 2.5 for AI Images & Videos

Alibaba has launched Qwen 2.5, an advanced AI model with powerful text, image, and video generation capabilities. Follow this simple step-by-step guide to access and start using Qwen 2.5 today!

Step 1: Access Qwen 2.5

1️⃣ Open your web browser and visit Qwen Chat.
2️⃣ Click on Sign In and log in using your email or Google account.

Step 2: Select Your AI Model

3️⃣ Once logged in, find the drop-down menu at the top.Choose your preferred Qwen 2.5 version (e.g., Qwen 2.5 Plus, Max, or VL-72B-Instruct).

Step 3: Create AI Images 

4️⃣  Type your image prompt and click on ‘Image Generation’ in the chatbox. Hit Enter, and Qwen will create an AI-generated image.

Step 5: Generate AI Videos 

5️⃣ Type a video prompt, then select ‘Video Generation’. Press Enter, and Qwen will process and generate your AI video.

GIVEAWAY

🎁$2000 in AI Tools, Courses & Templates— For FREE

We’re giving away over $2,000 worth of AI software, courses, and templates to help you 10X your personal and business goals.

This giveaway includes a free business consultation, exclusive tools like MegaSEO, and the $1 Product Challenge Course to launch profitable products without spending on ads. Plus, get access to expert-led workshops, hundreds of templates, and much more. Don’t miss out—this opportunity is 100% free, but only for a limited time!