Tech & Sourcing @ Morgan Lewis

In Part 1 of our series on Text-to-Speech AI Models (TTS Models), we highlighted questions that should be considered from an intellectual property perspective. In this Part 2, we provide a high-level overview of data protection concerns of which to be aware. Given the specific nature of the product source—voice being the core element of input and output data for TTS Models—it is crucial to be mindful of data protection requirements, especially in an era of heightened attention to privacy rights.

Text-to-speech AI models (TTS Models) are rapidly evolving within the broader spectrum of AI solutions, offering tremendous potential for businesses. These models can analyze text and speech as well as generate anything from simple sounds to high-quality, natural-sounding speech, which capability makes TTS models highly appealing for commercial use, including use in connection with virtual assistants, audiobooks, elearning platforms, and customer service functions.

Expanding a business into new markets presents a myriad of challenges, and companies should evaluate and consider financial plans, marketing strategies, operational issues, and corresponding legal implications in connection with any such expansion.

There are many issues for companies to address when contracting for the manufacture and supply of automotive industry products. In this blog post, we highlight several of these key considerations.

In this blog post we explore build-operate-transfer (BOT) models in relation to businesses setting up offshore delivery centers, commonly becoming known as Global Capability Centers (GCCs).

Starting January 17, 2025, financial entities based in the European Union must have in place processes and policies, as well as mandatory contract provisions with their third-party technology vendors, that comply with the EU’s Digital Operational Resilience Act (DORA). Financial entities are currently at varying stages of updating their operational risk management frameworks and remediating contracts with technology vendors. For banks, the European Central Bank has signaled that resiliency will be a top priority on its supervisory agenda.

A significant number of legacy software solutions are now incorporating generative artificial intelligence (GenAI), and most new software solutions have some form of GenAI capabilities. This is true across the majority of, if not all, industries and, as such, it is not surprising that we are seeing a large increase in GenAI-related queries from businesses that use, or are procuring, software.

Beginning January 17, 2025, the European Union’s Digital Operational Resilience Act (DORA) will require financial entities to maintain and submit to EU regulators a comprehensive register of their contractual arrangements with third-party information and communication technology (ICT) service providers. Financial entities are being given the opportunity to sign up for a voluntary reporting exercise by May 31, 2024, running between July and August 2024, to help them prepare for one of the most challenging aspects of implementing DORA.

The Federal Trade Commission (FTC) approved a Final Rule on April 23, 2024 banning almost all worker noncompetes. Questions abound regarding the authority of the FTC to create such a rule and the potential implications of its implementation. To help create some clarity, Morgan Lewis lawyers have prepared answers to frequently asked questions (FAQs) related to the Final Rule’s applicability and anticipated impact as well as what businesses can do to prepare.

This blog is the finale to our Cracking AI and Outsourcing Conundrums series, a series in which we’ve discussed thought-provoking topics and set the stage for dynamic discussions with outsourcing customers and providers on the opportunities and risks of generative AI (GenAI) solutions in the outsourcing space. In this Part 4, we examine certain top-of-mind issues arising in connection with ownership and use rights when leveraging GenAI.