AI Training Lawsuit: Judge Rules in Favor of Anthropic

AI Model Training and Copyright: A Landmark Ruling

U.S. Federal Judge William Alsup has determined that Anthropic is legally permitted to utilize published books for the training of its artificial intelligence models, even without explicit author consent. This represents the initial judicial validation of the argument put forth by AI firms, asserting that the fair use doctrine can shield them from liability when employing copyrighted content to develop large language models (LLMs).

Impact on Copyright Lawsuits

The decision delivers a setback to authors, artists, and publishers currently engaged in legal battles against companies such as OpenAI, Meta, Midjourney, and Google. Although this ruling doesn't guarantee similar outcomes in other cases, it establishes a precedent for courts potentially favoring technology companies over creative rights holders.

Understanding the Fair Use Doctrine

The core of these legal disputes revolves around the interpretation of the fair use doctrine. This provision within copyright law, which hasn't been revised since 1976, is complex and open to interpretation – particularly in the context of the internet and generative AI.

Determining fair use involves several factors. These include the intended purpose of the use (such as parody or education), whether it's for commercial profit, and the degree to which a new work transforms the original material.

Previous Arguments and the Meta Case

Similar fair use arguments have been presented by companies like Meta in their defense of training AI models on copyrighted works. However, prior to Judge Alsup’s ruling, the courts’ stance on these arguments remained uncertain.

The Issue of Illegally Obtained Materials

In the case of Bartz v. Anthropic, the plaintiffs also raised concerns regarding how Anthropic acquired and stored the copyrighted works. The lawsuit alleged that the company aimed to build a comprehensive “central library” containing “all the books in the world,” intended for permanent preservation.

Crucially, millions of these books were reportedly downloaded illegally from pirate websites, a clear violation of copyright law.

Upcoming Trial Regarding Pirated Copies

While the judge affirmed that Anthropic’s training process itself constituted fair use, a trial will be held to address the issue of the illegally obtained materials and potential damages.

“A trial will be held concerning the pirated copies used to construct Anthropic’s central library and the resulting damages,” Judge Alsup stated in his decision. “The fact that Anthropic subsequently purchased a copy of a book it initially obtained through theft does not eliminate its liability for that theft, though it may influence the amount of statutory damages.”