OpenAI and Microsoft Hit with Copyright Lawsuit Over Alleged Mass Content Exploitation

OpenAI and Microsoft Hit with Copyright Lawsuit Over Alleged Mass Content Exploitation

By Marcus Bennett

December 14, 2024 at 11:44 PM

OpenAI and Microsoft face a new class-action lawsuit filed by author Julian Sancton in New York federal court, alleging unauthorized use of copyrighted works to train ChatGPT. Unlike previous lawsuits, this one uniquely targets both companies.

Microsoft headquarters entrance with logo

Microsoft headquarters entrance with logo

The lawsuit argues that OpenAI and Microsoft built their multi-billion dollar business by using copyrighted works without permission. While OpenAI handled the AI model development, Microsoft provided the computing infrastructure that enabled the alleged copying of protected materials.

Key allegations include:

  • OpenAI's transformation from a non-profit to a for-profit entity
  • Unauthorized use of quality content for AI training
  • Specific infringement of Sancton's book "Madhouse at the End of the Earth"
  • ChatGPT's alleged admission of using the book in its training data
  • Lack of compensation to content creators

The plaintiff seeks several remedies:

  • Statutory and compensatory damages
  • Disgorgement of profits
  • Permanent injunction against further infringement

This case stands apart from similar lawsuits (like those from Sarah Silverman and the Authors Guild) by targeting Microsoft's role in the alleged infringement, potentially setting a precedent for future AI copyright cases.

OpenAI logo against black backdrop

OpenAI logo against black backdrop

The lawsuit highlights a growing tension between AI companies and content creators, raising important questions about fair compensation and copyright protection in the age of artificial intelligence.

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Hockey players on indoor rink

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