AI company Perplexity AI faces legal action from News Corp. over allegations of copyright infringement.
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| The latest legal battle between AI and news publishers as News Corp. sues Perplexity AI for copyright infringement. Image Courtesy: P.AI |
New York, NY, USA – October 22, 2024:
News Corp., the parent company of the Wall Street Journal and the New York Post, has filed a lawsuit against Perplexity AI, alleging copyright infringement. The publications claim that Perplexity is using their content to train its large language models without permission, thereby competing for readers while free-riding on the valuable content they produce.
In their complaint, the publishers argue that Perplexity can serve up entire articles from their publications, even for those paying for the premium subscription plan. They also accuse Perplexity of harming their brand by citing information that never appeared on their websites. The company's AI, they claim, can hallucinate and add incorrect details, potentially misleading readers.
News Corp. is seeking damages of up to $150,000 for each incident of copyright infringement and is demanding that Perplexity cease using their publications' content without permission. While the company has not yet indicated whether it is willing to negotiate a content agreement, News Corp. recently struck a licensing deal with OpenAI, allowing ChatGPT to use its websites' articles for training in exchange for a reported $250 million.
This lawsuit is part of a growing trend of news organizations taking legal action against AI companies for copyright infringement. The New York Times, The Intercept, Raw Story, and AlterNet have also sued OpenAI for using their content to train its large language models. Condé Nast previously sent a cease-and-desist letter to Perplexity over similar concerns.
As AI technology continues to evolve, the legal landscape surrounding copyright and content usage is becoming increasingly complex. The outcome of this lawsuit could have significant implications for the future of AI and the relationship between AI companies and news publishers.