Publishers Argue AI Firms Should Pay for Content as Copyright Case Advances
The cost of licensing news content would be a “rounding error” for companies like OpenAI, says Ziff Davis CEO Vivek Shah.
Copyright infringement lawsuits filed by news organizations against AI developer OpenAI are progressing, with the Trump administration's involvement raising questions about the financial impact on AI companies. The cases, including those brought by The New York Times and CNET-owned Ziff Davis, are seeking a federal court ruling on whether OpenAI's use of published material qualifies as fair use under US copyright law.
However, Ziff Davis CEO Vivek Shah argues that the licensing costs would be insignificant for AI firms but significant for publishers. He compares the $20 billion annual cost of licensing music to the $750 billion OpenAI anticipates spending on computing infrastructure by 2030. The publishers contend that OpenAI's use of their content has diluted market value and sparked the creation of AI-generated content, leading to a decline in web traffic.
OpenAI contends its use of data scraped from the internet is fair use due to its transformational nature, factual basis, and lack of market harm. The publishers argue that AI systems can benefit journalism and the public good, emphasizing the need for a reasonable licensing structure.
Written by urgent.news from CNET's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
