Mistral CEO: AI companies should pay a content levy in Europe

Mistral AI CEO Arthur Mensch has published a significant policy proposal in the Financial Times, arguing that Europe's current copyright framework puts its AI companies at a "structural disadvantage" against US and Chinese competitors. He highlights that while American and Chinese firms train models under "permissive or non-existent copyright rules" using European content, EU developers face a "fragmented legal environment" and "legal uncertainty" that hampers investment. The current opt-out system for rights holders has proven "unworkable," creating a framework that "satisfies no one"—neither creators fearing for their livelihoods nor developers needing clear rules.

Mensch's solution is a revenue-based levy applied equally to all commercial AI providers operating in the European market, whether domestic like Mistral or foreign like OpenAI. This would create a "level playing field" and ensure foreign tech giants contribute when profiting from European data. The proceeds, which Mistral estimates could reach €4bn, would flow into a central fund dedicated to investing in new European content creation and supporting cultural sectors. In return, AI companies would gain crucial "legal certainty" and liability protection for training on publicly available online materials, though licensing agreements for specific use cases would continue.

The proposal comes as Mistral itself is investing heavily in European AI infrastructure, but Mensch warns that "Europe cannot afford to become a passive consumer of technology" built elsewhere. The levy system aims to balance creator compensation with developer innovation, attempting to resolve the ongoing tension between copyright protection and AI advancement that has stalled European competitiveness in the global AI race.