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– Lawsuit Filed Against OpenAI and Microsoft by New York Times for Utilizing Content in Educational Initiatives

The newspaper said it “seeks to hold them responsible for the billions of dollars in statutory and …

The federal copyright infringement lawsuit filed by The New York Times on Wednesday targets OpenAI, the creator of ChatGPT, and its major supporter, Microsoft. This legal action has significant implications for the tech industry as publishers like The Times strive to adapt and thrive in the evolving landscape.

In the lawsuit, lodged in Manhattan district court, The Times alleges that OpenAI and Microsoft have developed AI products that directly compete with the newspaper’s services, drawing from a vast repository of protected articles without authorization. The complaint accuses the defendants of capitalizing on The Times’ substantial investment in journalism to create similar products like Microsoft’s Bing Chat, now known as “Copilot,” and OpenAI’s ChatGPT, without proper consent or compensation.

This marks the first time The Times has taken legal action against OpenAI and Microsoft, seeking unspecified damages and requesting the court to mandate the destruction of all GPT and “large-language models” trained using its proprietary content. The newspaper aims to hold the defendants accountable for both legal and actual damages amounting to billions of dollars.

Despite the legal proceedings, Microsoft and OpenAI have yet to formally respond to the allegations. The lack of immediate response from the companies was noted when inquiries were made by The Post.

The lawsuit contends that the AI products of OpenAI and Microsoft have diverted traffic from The Times’ online platforms by incorporating its exclusive articles in their responses. This diversion has led to revenue loss for The Times, affecting advertising, licensing, and subscription earnings.

The legal team representing The Times presented instances where ChatGPT directly plagiarized content from the newspaper, including in-depth reports such as the investigation into Apple and the automotive sector in New York City. The complaint emphasizes that the journalistic work at The Times involves significant resources, with hundreds of journalists contributing to content valued at hundreds of millions annually. The unauthorized usage of this content circumvents the substantial investment made by The Times in producing such high-quality journalism.

In the backdrop of these legal actions, the growing tension between technology giants and media organizations underscores the broader implications of AI advancements on creative industries. Criticisms suggest that the proliferation of AI tools like chatbots could potentially replace traditional creative roles and impact the revenue streams of struggling media enterprises.

The lawsuit against OpenAI comes in the wake of similar legal challenges by prominent figures in the creative industry, alleging copyright infringement and unauthorized use of their works. The evolving landscape of AI technology and its intersection with intellectual property rights is a focal point of contention among stakeholders across various sectors.

As the legal battle unfolds, the repercussions extend beyond financial claims, reflecting broader concerns about the ethical and legal boundaries of AI innovation in relation to copyrighted content and creative expression.

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Last modified: December 29, 2023
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