"This comes after a banner year for IP lawsuits against AI companies brought by rights holders. Just about every type of entity that deals in protected content has gone to court against AI companies this year, from movie studios like Disney and Warner Bros. to papers like the . Some of these cases have led to settlements in the form of partnerships, such as the licensing deal between Disney and OpenAI."
"It's notable that this case is being brought by a small group of individuals instead of as a class action, something the authors involved say is no accident. "LLM companies should not be able to so easily extinguish thousands upon thousands of high-value claims at bargain-basement rates," the complaint reads. This is also the first case of its kind to list xAI as a defendant."
John Carreyrou and five other writers filed suit against xAI, Anthropic, Google, OpenAI, Meta, and Perplexity alleging that those companies trained large language models on copyrighted books without permission. The plaintiffs assert that big tech companies violated intellectual property rights while building LLMs and chose individual claims rather than a class action to avoid large-scale low-value settlements. The complaint references a recent $1.5 billion Anthropic settlement and argues that class members would receive only a small fraction of statutory damages. Perplexity responded by stating it "doesn't index books," and xAI appears as a defendant for the first time in such a case.
Read at Engadget
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