Saudi Arabia’s new copyright regime impacts innovators and employers

The new Copyright Law aims to strengthen protections for copyright and related rights while supporting the Kingdom’s broader digital transformation strategy. It introduces clearer regulatory frameworks for creators, performers, producers of sound recordings, and broadcasting organisations, alongside modernised exceptions that enable the development of artificial intelligence (AI) systems, data-driven technologies, and advanced algorithms.

In particular, the law provides greater specificity around the types of works eligible for protection, the duration of rights, and the circumstances under which copyrighted materials may be used without infringing rights, such as for research, training, data analysis, temporary reproduction, and technology development. It also modernises licensing models to better accommodate cloud-based services and digital content distribution.

Dr. Sairah Narmah-Alqasim, an expert in employment practice at Pinsent Masons, said: “The practical takeaway is that businesses should now review employment documentation, policies and project contracting to ensure ownership and licensing positions are clearly documented and consistent across the business.”

The law establishes the Saudi Authority for Intellectual Property (SAIP) as the body responsible for enforcing the new laws and introduces new enforcement mechanisms for addressing copyright and intellectual property (IP) violations for employees.

Martin Hayward, an expert in IP and technology law at Pinsent Masons, said: “With the law expected to take effect 180 days after it was published on 2 February, with implementing regulations due to follow, organisations should use the lead-in period to reduce disputes risk and protect assets.”

The new law introduces a structured approach to employment‑related intellectual property rights, clarifying how economic rights will be allocated for works related to the employer’s business, created for the benefit of a third party under contract and those unrelated to the employer’s core activities, but created by an employee.

These default rules apply unless a written agreement provides otherwise. The aim is to reduce ambiguity and prevent disputes about ownership of creative outputs, code, software, training materials, marketing content, databases, and other employer‑funded works.

Martin said: “Saudi Arabia’s new Copyright Law is a notable development for businesses because it expressly addresses ownership of employee-created works.”

“Article 18 sets out the default rules allocating economic rights, depending on whether the work is connected to the employer’s business, created for the benefit of a third party, or unrelated to the employer’s activities, subject in each case to any agreement between the parties,” she said.

“That clarity is welcome for organisations operating in KSA, particularly those whose employees regularly produce valuable content, software, training materials or other creative outputs.”