NY Times Sues AI Startup Perplexity Over Unauthorized Content Use Amid Growing Copyright Concerns

October 15, 2024
NY Times Sues AI Startup Perplexity Over Unauthorized Content Use Amid Growing Copyright Concerns
  • Perplexity has faced accusations from various media organizations, including Forbes and Wired, regarding unethical web scraping practices to gather content.

  • A study by Copyleaks has raised concerns that Perplexity can summarize paywalled content from publishers, further complicating the legal landscape surrounding copyright infringement.

  • The New York Times has initiated legal action against AI startup Perplexity, claiming the company has used its content without authorization.

  • In a cease and desist letter dated October 2, The Times alleges 'unlawful use' of its articles and seeks clarification on how Perplexity's AI cites its work.

  • Perplexity's CEO, Aravind Srinivas, has expressed a desire to collaborate with The New York Times and insists that the company does not wish to be adversarial.

  • In contrast to the legal battles faced by Perplexity, some media companies have opted to partner with OpenAI, allowing access to their copyrighted content for a fee.

  • Perplexity plans to respond to the cease and desist notice by the deadline of October 30, indicating its intention to address the legal demands.

  • This lawsuit is part of a broader trend, as The Times has also filed a lawsuit against OpenAI for similar reasons, highlighting ongoing tensions between traditional media and AI companies.

  • In response to these concerns, Perplexity has introduced an ad-revenue sharing program aimed at compensating publishers for the content cited by its AI.

  • The legal dispute underscores the increasing anxiety among content creators regarding AI's use of copyrighted material, with fair use emerging as a key issue in these ongoing conflicts.

  • These developments reflect a growing concern among publishers about how AI technologies could undermine their business models by potentially reducing website traffic and revenue.

  • Perplexity maintains that it lawfully indexes web pages and provides factual citations, arguing that no single organization can claim ownership over facts.

Summary based on 14 sources


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