The New York Times Files Lawsuit Against OpenAI and Microsoft

The New York Times has taken legal action against OpenAI and Microsoft, filing a federal lawsuit in Manhattan’s Southern District of New York. 

The lawsuit alleges that the companies are leveraging The Times’ content to develop artificial intelligence products, directly competing with the publication and undermining its ability to deliver services.

OpenAI and Microsoft have yet to respond to requests for comment regarding the lawsuit.

Threat to Media and AI Advancements:

The lawsuit underscores the challenges media organizations face amidst a shift of readers to online platforms. 

Artificial intelligence technologies, while promising, pose a threat to various industries, including media, as these companies scrape and use online information, including articles, to train AI chatbots, attracting substantial investments.

Seeking Damages and Responsibility:

The Times did not specify the damages sought but indicated that the legal action aims to hold the companies accountable for billions of dollars in statutory and actual damages due to the alleged unlawful use of its content.

The complaint accuses Microsoft and OpenAI of capitalizing on The Times’ substantial investments in journalism by using it to develop products without authorization or compensation.

Unresolved Talks and Legal Action:

Efforts to resolve the issue through negotiations seemingly failed, as The Times had approached both companies in April to address concerns about using its intellectual property. 

Despite seeking fair value for its content and aiming for a mutually beneficial arrangement, the talks did not lead to a resolution, prompting legal action.