News Publishers’ Association Expresses Concern Over New York Times’ Lawsuit Against Microsoft and OpenAI

In this post:

  • News Publishers’ Assoc. disappointed by NY Times’ lawsuit against OpenAI & Microsoft over AI content use.
  • Fair Digital News Bill seeks fair compensation for news in AI.
  • Copyright battles in AI have far-reaching consequences.

The News Publishers’ Association of New Zealand has voiced its disappointment regarding The New York Times’ decision to sue OpenAI, the creator of ChatGPT, and Microsoft over alleged copyright infringements. The Association’s public affairs director, Andrew Holden, expressed concern about the use of news content by automated chatbots and other commercial AI products without proper compensation to news organizations.

The lack of protections for news content

Holden pointed out that there are currently no safeguards against AI platforms using New Zealand journalism to train their software. To address this issue, the News Publishers’ Association supports the Fair Digital News Bargaining Bill, currently before the New Zealand Parliament. This legislation aims to compel major tech companies like Microsoft, Google, and Meta to negotiate with news organizations and establish fair compensation for the use of journalistic content.

Holden explained, “Without that legislation, there’s no particular reason for them to sit down and negotiate with us.” The Association has submitted proposals to strengthen clauses related to AI in the legislation to ensure that tech giants using New Zealand journalism to develop AI products provide proper compensation to the content creators.

The New York Times’ lawsuit

The New York Times recently made headlines by becoming the first major U.S. media organization to sue OpenAI and Microsoft over copyright issues associated with its works. The newspaper’s complaint, filed in a Manhattan federal court, alleges that OpenAI and Microsoft are utilizing The Times’s journalism to create AI products that compete with and divert audiences from the newspaper.

The Times asserts that this action amounts to a “free-ride on The Times’s massive investment in its journalism.” While the newspaper is not seeking a specific amount of damages, it estimates damages in the billions of dollars. Furthermore, The Times is demanding the destruction of chatbot models and training sets that incorporate its copyrighted material.

The defense’s argument

OpenAI and Microsoft have countered the allegations, asserting that using copyrighted works to train AI products falls under the legal doctrine of “fair use.” They argue that such use is transformative and aligns with the principles of fair use, which allows for the unlicensed use of copyrighted material under certain conditions.

The U.S. Copyright Office defines transformative uses as those that introduce “something new, with a further purpose or character” and are “more likely to be considered fair.”

Failed attempts to Avert a lawsuit

The New York Times stated that attempts to negotiate with OpenAI and Microsoft to prevent a lawsuit were unsuccessful. The newspaper had hoped for “a mutually beneficial value exchange” with the defendants but was unable to reach an agreement.

OpenAI expressed surprise and disappointment at the lawsuit, emphasizing its commitment to respecting the rights of content creators and owners. Microsoft, on the other hand, has not responded to requests for comment on the matter.

Implications and Future Developments

The lawsuit filed by The New York Times against OpenAI and Microsoft has significant implications for the use of copyrighted content in training AI products. The outcome of this case may shape how news organizations and tech companies navigate copyright issues in the era of AI-driven content generation. It also underscores the growing importance of fair compensation for news organizations when their content is used in AI development.

The News Publishers’ Association of New Zealand’s disappointment over The New York Times’ lawsuit against OpenAI and Microsoft reflects broader concerns about the use of news content in AI products without proper compensation. The legal battle between The Times and the defendants highlights the complexities of copyright and fair use in the context of AI development. The outcome of this case will likely influence future discussions and negotiations between news organizations and tech giants regarding the use of journalistic content in AI applications.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

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