Federal Copyright Case Targets OpenAI and Microsoft Over AI Training Practices

The New York Times and other publishers argue that AI models unlawfully use their content, while tech companies claim fair use protections.

The New York Times, New York Daily News, and others have filed lawsuits accusing OpenAI and Microsoft of using copyrighted content to train AI models without permission or compensation.
Publishers claim that AI-generated outputs compete with their original content, undermining ad revenue, subscriptions, and affiliate earnings.
OpenAI and Microsoft argue their practices fall under the fair use doctrine, emphasizing the transformative and non-commercial nature of AI applications.
Plaintiffs allege that AI tools sometimes reproduce content verbatim, misattribute sources, and bypass paywalls, causing reputational and financial harm.
Judge Sidney Stein has yet to decide on motions to dismiss parts of the case, signaling the potential for a lengthy legal battle with industry-wide implications.