NYT lawsuit briefs reveal internal Microsoft and OpenAI comments on AI scraping
The New York Times filed legal briefs in its copyright case against OpenAI and Microsoft, citing internal documents. A Microsoft director allegedly called AI scraping 'the largest theft of labor in human history,' and an OpenAI head called ChatGPT an 'existential threat' to publishers. The publication seeks summary judgment based on these revelations.
The lawsuit stems from the Times' claim that OpenAI and Microsoft reproduced thousands of its articles without authorization to train their language models. Internal Microsoft communications reportedly acknowledged the strain this placed on news organizations, with company data showing a dramatic decline in traffic to the Times' website when Copilot provided answers directly rather than directing users to the original pages.
The sealed documents also suggest OpenAI personnel were aware of the tension between their product and publisher sustainability. One researcher reportedly shared a workaround for the Times' paywall with company leadership, while another acknowledged that users rarely click through to cited sources. The case now hinges on whether courts accept the fair use defense, with one prior ruling favoring Anthropic in a similar dispute.
This case could reshape how AI companies obtain training data and how publishers are compensated for their content. If the court sides with the Times, AI developers may need licensing agreements with content creators, potentially raising costs and slowing model development. If fair use prevails, news organizations could face continued revenue pressure as AI assistants increasingly answer queries directly, reducing traffic to original reporting. The outcome may influence how other publishers negotiate with AI firms and could set precedent for similar disputes across creative industries.