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Court Advances The New York Times Lawsuit Against OpenAI

Mar 26, 2025 - hollywoodreporter.com
A federal judge has allowed _The New York Times_ to proceed with its copyright lawsuit against OpenAI, rejecting the company's attempt to dismiss the case. The lawsuit accuses OpenAI of using the publication's content to train its AI systems without consent or compensation, raising critical questions about fair use in AI development. While some claims, such as unfair competition and Digital Millennium Copyright Act violations, were dismissed, the core claims of copyright infringement remain. The _Times_ argues that OpenAI's use of its articles constitutes "free-riding" on its efforts and investment, potentially leading to significant damages if infringement is found.

The lawsuit, which also names Microsoft, follows failed negotiations over a licensing agreement and has broader implications for the news publishing industry. The _Times_ presented evidence of OpenAI's products displaying near word-for-word excerpts of its articles, bypassing paywalls and going beyond typical search result snippets. This legal battle contrasts with other publications that have opted for licensing deals with OpenAI. As the case unfolds, the _Times_ has disclosed significant legal expenses related to generative AI litigation, while OpenAI has made changes to prevent verbatim copying of articles.

Key takeaways:

  • A federal judge has allowed The New York Times' copyright lawsuit against OpenAI to proceed, focusing on copyright infringement claims.
  • The lawsuit accuses OpenAI of using The New York Times' content to train its AI systems without consent or compensation, potentially leading to significant damages.
  • The case could have broad implications for the news publishing industry, affecting the financial viability of media in an AI-driven landscape.
  • OpenAI has made changes to its chatbot to avoid verbatim copying of articles following the lawsuit.
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