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OpenAI and Microsoft Sued Over Copyright Infringement

In this post:

  • Newspapers file a lawsuit against Open AI & Microsoft, claiming copyright infringement and illegal use of articles for training AI models.
  • The legal fight is ramping up by newspapers who demand payment for copyrighted materials used by tech giants.
  •  Allegations of gross copyright infringement point out the clash between traditional media and Big Tech regarding intellectual property rights.

A coalition of 8 leading newspapers has filed a lawsuit against OpenAI and Microsoft, claiming far-reaching copyright violations. The lawsuit, filed in the Southern District of New York, accuses the AI developers of using the copyrighted articles to train their artificial intelligence products, including ChatGPT and Copilot, without seeking permission or paying the publishers. The legal battle here is a critical step in the ongoing fight between traditional media companies and big techs over the unpaid use of content for commercial purposes.

Mass copyright infringement claims

The plaintiffs here, including big names in news such as the Chicago Tribune, New York Daily News, and Denver Post, argue that OpenAI and Microsoft have grabbed multi-billion business from publishing companies by leveraging other people’s copyrighted works without authorization. As the complaint indicates, AI developers have made use of millions of texts from the publishers’ websites both in the training datasets to enrich their language models bypassing the journalist’s integrity and financial compensation for the content they rightfully deserve.

Influence on the news industry and reputation

Frank Pine, MediaNews Group and Tribune Publishing’s executive editor slammed the practice of scraping news content, stating how this damages the news industry’s business model beyond explanation. According to Pine, while OpenAI and Microsoft are spending a lot on technology, infrastructure and personnel, they have ignored rewards for the content provided by the publishers which is the foundation of their products. However, the plaintiffs further argue that the AI applications have also infringed the copyright laws by compelling an inaccurate and misleading text that is wrongly attributed to the publishers and this not only damages their reputation but also reinforces the disinformation concerns.

See also  OpenAI secures $6.6 billion at a valuation of $157 billion

OpenAI and Microsoft legal battle intensifies

This suit is a part of many lawsuits filed against AI technologies. Microsoft and OpenAI are facing legal challenges as a result. The previous actions of the Authors Guild and The New York Times have been pressed against tech companies for infringing on authors’ copyrights and making them legally accountable for their unauthorized use of copyrighted materials. Summons and initial discovery are already underway, and a summary judgment briefing is scheduled for the first part of 2025. So, the court decision of this case will affect the future of AI technology development and creative rights protection in the digital world to a large extent.

The lawsuit filed by eight newspapers against OpenAI and Microsoft reflects a major step up in the struggle between traditional mass media and Big Tech on copyright infringement and fair compensation for content creators. The actual outcome of this legal proceeding is to be closely monitored by stakeholders from different industries with possible influences on AI innovation, intellectual property rights, and the relations between tech companies and content developers.

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