OpenAI & Microsoft Face Another Lawsuit Amid NYT Woes Over AI Training

In a legal tussle that could reshape the landscape of AI development, OpenAI and Microsoft find themselves embroiled in lawsuits filed by nonfiction authors Nicholas Basbanes and Nicholas Gage. The authors allege that their works were improperly used to train OpenAI’s ChatGPT and other AI services, constituting copyright infringement.

Meanwhile, the legal battle comes amid a time when The New York Times already added to the pressure, suing OpenAI and Microsoft over the alleged misuse of its journalists’ work for AI training.

OpenAI & Microsoft Face Another Legal Hurdles

Two nonfiction authors, Nicholas Basbanes and Nicholas Gage, have taken legal action against OpenAI and Microsoft, accusing the companies of copyright infringement. In a proposed class action, the authors claim that their books were utilized without permission to train OpenAI’s GPT large language model, powering popular AI services such as ChatGPT.

In addition, the lawsuit adds to a growing trend, with various writers, including comedian Sarah Silverman and “Game of Thrones” author George R.R. Martin, filing similar complaints against tech companies for alleged misuse of their work in AI program training, Reuters reported.

Meanwhile, representatives for Microsoft and OpenAI are yet to respond to the lawsuit, marking a significant clash between content creators and tech giants. Notably, Michael Richter, the lawyer representing Basbanes and Gage, expressed concern over the lack of compensation for authors whose works contribute to a burgeoning billion-dollar-plus industry.

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Hovering Challenges On The AI Giant

The legal battle intensified as The New York Times filed a landmark lawsuit against OpenAI and Microsoft on December 27, 2023. The media firm filed the lawsuit alleging the unauthorized use of its journalists’ work to train AI technologies, including ChatGPT.

Seeking damages in the billions, NYT challenges what it calls the “unlawful copying and use” of its content. Besides the monetary compensation, the lawsuit demands the dismantling of artificial intelligence (AI) models and training data incorporating NYT’s copyrighted material, signaling a pivotal moment in the ongoing conflict between traditional media and AI-driven platforms.

In addition, this clash underscores broader tensions between digital journalism and AI technologies, with traditional media outlets viewing AI chatbots as potential competitors diverting traffic and revenue. As the legal drama unfolds, it casts a spotlight on the delicate balance between intellectual property rights and the evolving AI landscape.

Meanwhile, amid these legal challenges, OpenAI is actively engaging in negotiations with publishers, seeking licensing deals for content pieces to enhance its AI models. Tom Rubin, Chief of Intellectual Property and Content at OpenAI, reports positive progress in ongoing discussions, emphasizing the organization’s commitment to collaborative partnerships in the evolving AI sector.

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Rupam, a seasoned professional with 3 years in the financial market, has honed his skills as a meticulous research analyst and insightful journalist. He finds joy in exploring the dynamic nuances of the financial landscape. Currently working as a sub-editor and crypto journalist at Coingape, Rupam’s expertise goes beyond conventional boundaries. His contributions encompass breaking stories, delving into AI-related developments, providing real-time crypto market updates, and presenting insightful economic news. Rupam’s journey is marked by a passion for unraveling the intricacies of finance and delivering impactful stories that resonate with a diverse audience.

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