Paper Number
2746
Paper Type
Complete
Abstract
This paper explores the dynamic interplay between artificial intelligence (AI) and human creativity within digital content platforms, focusing on how AI influences creator incentives and consumer welfare through content quality. We develop a model to analyze how AI affects content creators’ incentives and consumer welfare, focusing on AI’s substitutive and complementary relationships with human skills and examining the effects of AI watermarking and detection policies. Our findings show that: first, AI benefits low-skill creators when human-input costs are low but may drive high-skill creators out of the market when costs are high, reducing content quality. Second, AI watermarking, which marks AI-generated con- tent, helps high-skill creators stay if human-input costs are moderate, improving content quality. If AI complementarity is high and watermark removal rates are low, watermarking is more effective. On the demand side, watermarking enhances content quality and subscription satisfaction. Third, an AI detection service shows similar results. High-skill creators prefer watermarking when removal rates are high and detection when rates are low. Both policies improve content quality and consumer satisfaction, with specific benefits depending on the watermark removal rate.
Recommended Citation
Wu, Zhenhua; Hu, Lin; and Chen, Pei-yu, "AI and Human Creativity on Content Creation: Analyzing Watermark and Detection Policies" (2024). ICIS 2024 Proceedings. 4.
https://aisel.aisnet.org/icis2024/aiinbus/aiinbus/4
AI and Human Creativity on Content Creation: Analyzing Watermark and Detection Policies
This paper explores the dynamic interplay between artificial intelligence (AI) and human creativity within digital content platforms, focusing on how AI influences creator incentives and consumer welfare through content quality. We develop a model to analyze how AI affects content creators’ incentives and consumer welfare, focusing on AI’s substitutive and complementary relationships with human skills and examining the effects of AI watermarking and detection policies. Our findings show that: first, AI benefits low-skill creators when human-input costs are low but may drive high-skill creators out of the market when costs are high, reducing content quality. Second, AI watermarking, which marks AI-generated con- tent, helps high-skill creators stay if human-input costs are moderate, improving content quality. If AI complementarity is high and watermark removal rates are low, watermarking is more effective. On the demand side, watermarking enhances content quality and subscription satisfaction. Third, an AI detection service shows similar results. High-skill creators prefer watermarking when removal rates are high and detection when rates are low. Both policies improve content quality and consumer satisfaction, with specific benefits depending on the watermark removal rate.
When commenting on articles, please be friendly, welcoming, respectful and abide by the AIS eLibrary Discussion Thread Code of Conduct posted here.
Comments
10-AI