The New York Times has filed a lawsuit against OpenAI, the entity behind ChatGPT, and Microsoft, alleging copyright infringement. The lawsuit, filed in a Manhattan federal court, contends that the firms are accountable for “billions of dollars” in damages as ChatGPT allegedly utilized “millions” of New York Times articles without authorization during its training, subsequently posing a threat to the newspaper’s revenue streams.

New York Times Sues Microsoft and OpenAI for Billions

The crux of the legal dispute revolves around the claim that ChatGPT, Microsoft’s $10 billion investment in OpenAI notwithstanding, unlawfully incorporated vast amounts of New York Times content into its learning process. The lawsuit argues that ChatGPT now competes with the renowned news outlet as a reliable information source, generating verbatim excerpts from the Times’ articles without the need for a paid subscription. The New York Times asserts that this unauthorized use compromises its subscription revenue and diminishes advertising clicks from readers who can access its content through ChatGPT.

Legal Quagmire Amidst Internal Turmoil

The legal action comes on the heels of an unsuccessful attempt by the New York Times to resolve the matter amicably with Microsoft and OpenAI in April. This development adds to the mounting challenges for OpenAI, which has recently weathered internal upheaval, including the brief dismissal and subsequent rehiring of CEO Sam Altman. The lawsuit also aligns with a broader trend in 2023, where various entities, including renowned authors and computing experts, are taking legal action against AI developers for alleged copyright violations, signaling a pivotal moment in the evolving relationship between traditional media and advanced AI technologies.

Read more: OpenAI Pauses ChatGPT Plus Sign-Ups Due to Overwhelming Demand


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