ORM-2.2
A scale-up above the threshold training a model on it, under ORM 2.2
Past the threshold on trailing revenue, now a Canopy Licensee. Any machine learning training, fine-tuning, or distillation using the Work. This resolves to the Canopy tier with a Compute licence required on top.
Tier
Owed
A quarterly Canopy Report. Section 5.1 imposes a royalty only when the Canopy Licensee makes Production Use. Plus a separate Compute Fee before the training run.
Sections in play
1.8, 3.1, 5.1, 5.2, 6.1, 6.2, 6.3, 6.5
Who and what
The situation being resolved.
Actor
A scale-up above the threshold
Past the threshold on trailing revenue, now a Canopy Licensee.
20M to 100M USD
Situation
Training a model on it
Any machine learning training, fine-tuning, or distillation using the Work.
Rulings
4 questions resolved against the text.
Which tier applies?
Canopy. Past the threshold on trailing revenue, now a Canopy Licensee. Section 5.2 reporting applies; the Section 5.1 royalty attaches when the Licensee makes Production Use and only to attributable revenue.
Sections 1.8, 3.1, 5.1
Is anything owed?
A quarterly Canopy Report. Section 5.1 imposes a royalty only when the Canopy Licensee makes Production Use. Plus a separate Compute Fee before the training run.
Sections 5.1, 5.2
Does training need its own licence?
Yes, at every tier including Root. Section 6.1 removes AI Training Use from the base grant entirely. The fee is charged per training run consuming the weights or their outputs. Training without it is not a lesser breach of these terms, it sits outside the licence, which Section 6.5 treats as infringement.
Sections 6.1, 6.2, 6.5
What must the resulting model do?
Carry provenance disclosure on output that reproduces the Work substantially word for word, above the threshold set in Exhibit B. Section 6.3 targets the attribution harm alleged against Copilot rather than attempting to police memorisation.
Sections 6.3
Cautions
What this situation gets wrong most often.
Corpus Inclusion under Section 1.11 reaches datasets compiled with actual knowledge they will be used for training. Passing the Work to a third party who trains on it does not move the obligation off you.
Section 8.3 forbids imposing a user ceiling, a regional exclusion, or an output-training restriction downstream where this licence imposes none. That prohibition is the point of the instrument.
Same actor
Other situations for this party.
Non-normative. Where this and the licence text disagree, the licence text applies.