AI

OpenAI claims New York Times copyright lawsuit is without merit

Comment

pattern of openAI logo
Image Credits: Bryce Durbin / TechCrunch

In late December, The New York Times sued OpenAI and its close collaborator and investor, Microsoft, for allegedly violating copyright law by training generative AI models on the Times’ content. Today, OpenAI gave a public response, claiming — unsurprisingly — that the Times’ lawsuit is meritless.

In a letter published this afternoon on OpenAI’s official blog, the company reiterates its view that training AI models using publicly available data from the web — including articles like the Times’ — is fair use. In other words, in creating generative AI systems like GPT-4 and DALL-E 3, which “learn” from billions of examples of artwork, ebooks, essays and more to generate human-like text and images, OpenAI believes that it isn’t required to license or otherwise pay for the examples — even if it makes money from those models.

“We view this principle as fair to creators, necessary for innovators and critical for U.S. competitiveness,” OpenAI writes.

OpenAI also addresses in its letter regurgitation, the phenomenon where generative AI models spit out training data verbatim (or near-verbatim) when prompted in a certain way — for example, generating a photo that’s identical to one taken by a famous photographer. OpenAI makes the case that regurgitation is less likely to occur with training data from a single source (e.g., The New York Times) and places the onus on users to “act responsibly” and avoid intentionally prompting its models to regurgitate.

“Interestingly, the regurgitations The New York Times [cites in its lawsuit] appear to be from years-old articles that have proliferated on multiple third-party websites,” OpenAI writes. “It seems they intentionally manipulated prompts, often including lengthy excerpts of articles, in order to get our model to regurgitate. Even when using such prompts, our models don’t typically behave the way The New York Times insinuates, which suggests they either instructed the model to regurgitate or cherry-picked their examples from many attempts.”

OpenAI’s response comes as the copyright debate around generative AI reaches a fever pitch.

In a piece published this week in IEEE Spectrum, noted AI critic Gary Marcus and Reid Southen, a visual effects artist, show how AI systems, including DALL-E 3, regurgitate data even when not specifically prompted to do so — making OpenAI’s claims to the contrary less credible. Marcus and Southen, in fact, make reference to The New York Times lawsuit in their piece, noting that the Times was able to elicit “plagiaristic” responses from OpenAI’s models simply by giving the first few words from a Times story.

The Times is only the latest copyright holder to sue OpenAI over what it believes is a clear violation of IP laws.

Actress Sarah Silverman joined a pair of lawsuits in July that accuse Meta and OpenAI of having “ingested” Silverman’s memoir to train their AI models. In a separate suit, thousands of novelists, including Jonathan Franzen and John Grisham, claim OpenAI sourced their work as training data without their permission or knowledge. And several programmers have an ongoing case against Microsoft, OpenAI and GitHub over Copilot, an AI-powered code-generating tool, which the plaintiffs say was developed using their IP-protected code.

Some news outlets, rather than fight generative AI vendors in court, have chosen to ink licensing agreements with them. The Associated Press struck a deal in July with OpenAI, and Axel Springer, the German publisher that owns Politico and Business Insider, did likewise in December. OpenAI also has deals in place with the American Journalism Project and NYU.

But the payouts tend to be quite small. According to The Information, OpenAI — whose annualized revenue reportedly hovers around $1.6 billion — offers between $1 million and $5 million a year to license copyrighted news articles to train its AI models.

Until recently, The New York Times, too, had been in conversations with OpenAI to establish a “high-value” partnership involving “real-time display” of its brand in ChatGPT, OpenAI’s AI-powered chatbot. But discussions broke down in mid-December, according to OpenAI.

For what it’s worth, the public might be on publishers’ sides. According to a recent poll from the independent think tank The AI Policy Institute, when informed about the details of The New York Times lawsuit against OpenAI, 59% of respondents agreed that AI companies shouldn’t be allowed to use publisher content to train models while 70% said that the companies should compensate outlets if they want to use copyrighted materials in model training.

More TechCrunch

The RAW Dating App aims to shake up the dating scheme by shedding the fake, TikTok-ified, heavily filtered photos and replacing them with a more genuine, unvarnished experience. The app…

Pitch Deck Teardown: RAW Dating App’s $3M angel deck

Yes, we’re calling it “ThreadsDeck” now. At least that’s the tag many are using to describe the new user interface for Instagram’s X competitor, Threads, which resembles the column-based format…

‘ThreadsDeck’ arrived just in time for the Trump verdict

Japanese crypto exchange DMM Bitcoin confirmed on Friday that it had been the victim of a hack resulting in the theft of 4,502.9 bitcoin, or about $305 million.  According to…

Hackers steal $305M from DMM Bitcoin crypto exchange

This is not a drill! Today marks the final day to secure your early-bird tickets for TechCrunch Disrupt 2024 at a significantly reduced rate. At midnight tonight, May 31, ticket…

Disrupt 2024 early-bird prices end at midnight

Instagram is testing a way for creators to experiment with reels without committing to having them displayed on their profiles, giving the social network a possible edge over TikTok and…

Instagram tests ‘trial reels’ that don’t display to a creator’s followers

U.S. federal regulators have requested more information from Zoox, Amazon’s self-driving unit, as part of an investigation into rear-end crash risks posed by unexpected braking. The National Highway Traffic Safety…

Feds tell Zoox to send more info about autonomous vehicles suddenly braking

You thought the hottest rap battle of the summer was between Kendrick Lamar and Drake. You were wrong. It’s between Canva and an enterprise CIO. At its Canva Create event…

Canva’s rap battle is part of a long legacy of Silicon Valley cringe

Voice cloning startup ElevenLabs introduced a new tool for users to generate sound effects through prompts today after announcing the project back in February.

ElevenLabs debuts AI-powered tool to generate sound effects

We caught up with Antler founder and CEO Magnus Grimeland about the startup scene in Asia, the current tech startup trends in the region and investment approaches during the rise…

VC firm Antler’s CEO says Asia presents ‘biggest opportunity’ in the world for growth

Temu is to face Europe’s strictest rules after being designated as a “very large online platform” under the Digital Services Act (DSA).

Chinese e-commerce marketplace Temu faces stricter EU rules as a ‘very large online platform’

Meta has been banned from launching features on Facebook and Instagram that would have collected data on voters in Spain using the social networks ahead of next month’s European Elections.…

Spain bans Meta from launching election features on Facebook, Instagram over privacy fears

Stripe, the world’s most valuable fintech startup, said on Friday that it will temporarily move to an invite-only model for new account sign-ups in India, calling the move “a tough…

Stripe curbs its India ambitions over regulatory situation

The 2024 election is likely to be the first in which faked audio and video of candidates is a serious factor. As campaigns warm up, voters should be aware: voice…

Voice cloning of political figures is still easy as pie

When Alex Ewing was a kid growing up in Purcell, Oklahoma, he knew how close he was to home based on which billboards he could see out the car window.…

OneScreen.ai brings startup ads to billboards and NYC’s subway

SpaceX’s massive Starship rocket could take to the skies for the fourth time on June 5, with the primary objective of evaluating the second stage’s reusable heat shield as the…

SpaceX sent Starship to orbit — the next launch will try to bring it back

Eric Lefkofsky knows the public listing rodeo well and is about to enter it for a fourth time. The serial entrepreneur, whose net worth is estimated at nearly $4 billion,…

Billionaire Groupon founder Eric Lefkofsky is back with another IPO: AI health tech Tempus

TechCrunch Disrupt showcases cutting-edge technology and innovation, and this year’s edition will not disappoint. Among thousands of insightful breakout session submissions for this year’s Audience Choice program, five breakout sessions…

You’ve spoken! Meet the Disrupt 2024 breakout session audience choice winners

Check Point is the latest security vendor to fix a vulnerability in its technology, which it sells to companies to protect their networks.

Zero-day flaw in Check Point VPNs is ‘extremely easy’ to exploit

Though Spotify never shared official numbers, it’s likely that Car Thing underperformed or was just not worth continued investment in today’s tighter economic market.

Spotify offers Car Thing refunds as it faces lawsuit over bricking the streaming device

The studies, by researchers at MIT, Ben-Gurion University, Cambridge and Northeastern, were independently conducted but complement each other well.

Misinformation works, and a handful of social ‘supersharers’ sent 80% of it in 2020

Welcome back to TechCrunch Mobility — your central hub for news and insights on the future of transportation. Sign up here for free — just click TechCrunch Mobility! Okay, okay…

Tesla shareholder sweepstakes and EV layoffs hit Lucid and Fisker

In a series of posts on X on Thursday, Paul Graham, the co-founder of startup accelerator Y Combinator, brushed off claims that OpenAI CEO Sam Altman was pressured to resign…

Paul Graham claims Sam Altman wasn’t fired from Y Combinator

In its three-year history, EthonAI has amassed some fairly high-profile customers including Siemens and chocolate-maker Lindt.

AI manufacturing startup funding is on a tear as Switzerland’s EthonAI raises $16.5M

Don’t miss out: TechCrunch Disrupt early-bird pricing ends in 48 hours! The countdown is on! With only 48 hours left, the early-bird pricing for TechCrunch Disrupt 2024 will end on…

Ticktock! 48 hours left to nab your early-bird tickets for Disrupt 2024

Biotech startup Valar Labs has built a tool that accurately predicts certain treatment outcomes, potentially saving precious time for patients.

Valar Labs debuts AI-powered cancer care prediction tool and secures $22M

Archer Aviation is partnering with ride-hailing and parking company Kakao Mobility to bring electric air taxi flights to South Korea starting in 2026, if the company can get its aircraft…

Archer, Kakao Mobility partner to bring electric air taxis to South Korea in 2026

Space startup Basalt Technologies started in a shed behind a Los Angeles dentist’s office, but things have escalated quickly: Soon it will try to “hack” a derelict satellite and install…

Basalt plans to ‘hack’ a defunct satellite to install its space-specific OS

As a teen model, Katrin Kaurov became financially independent at a young age. Aleksandra Medina, whom she met at NYU Abu Dhabi, also learned to manage money early on. The…

Former teen model co-created app Frich to help Gen Z be more realistic about finances

Can AI help you tell your story? That’s the idea behind a startup called Autobiographer, which leverages AI technology to engage users in meaningful conversations about the events in their…

Autobiographer’s app uses AI to help you tell your life story

AI-powered summaries of web pages are a feature that you will find in many AI-centric tools these days. The next step for some of these tools is to prepare detailed…

Perplexity AI’s new feature will turn your searches into shareable pages