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Could ChatGPT go down? NYT's lawsuit against OpenAI raises questions
The lawsuit alleges articles were used without any consent

Could ChatGPT go down? NYT's lawsuit against OpenAI raises questions

Jan 15, 2025
03:41 pm

What's the story

The New York Times and other news organizations have sued OpenAI, the maker of ChatGPT. The lawsuit accuses OpenAI and its main investor Microsoft of violating copyrights by utilizing their content without authorization or payment. The case consolidates three lawsuits filed by The New York Times, The New York Daily News, and the Center for Investigative Reporting. At the heart of the publishers' argument is the fact that ChatGPT's data contains millions of copyrighted works from their organizations.

Core argument

Publishers argue OpenAI's use of content is unlawful

The lawsuit alleges that these articles were used without any consent or payment, amounting to large-scale copyright infringement. "[OpenAI's] unlawful use of The Times's work to create artificial intelligence products that compete with it threatens The Times's ability to provide that service," the NYT's lawyers said in an amended complaint.

Defense strategy

OpenAI defends its actions under 'fair use' rules

In response to the allegations, OpenAI has defended its actions by invoking "fair use" rules. These rules allow the use of copyrighted material for research, educational, or commentary purposes. To pass the fair use test, the work must change the copyrighted work into something new and not compete with the original in the same marketplace. Microsoft's lawyers argued it was not illegal for OpenAI to ingest journalistic text.

Alternative approaches

Other publishers have reached content-sharing deals with OpenAI

While some news organizations are taking the legal route, others such as the Associated Press, News Corp, and Vox Media have opted for the content-sharing route by striking deals with OpenAI. The litigants claim ChatGPT's global success is partly due to its use of copyrighted articles and now presents competition as a reliable information source. Meanwhile, The Times's complaint indicates OpenAI could be liable for billions in damages for allegedly copying and using its archive illegally.

Lawsuit consequences

Potential implications of the lawsuit on OpenAI's future

The lawsuit calls for the destruction of ChatGPT's dataset, a move that could deal a major blow to OpenAI as it would have to rebuild its dataset using only authorized works. Federal copyright law carries heavy financial penalties, with fines up to $150,000 for each willful infringement. AI scholar Daniel Gervais noted, "Copyright law is a sword that's going to hang over the heads of AI companies for several years unless they figure out how to negotiate a solution."