logo
US judge sides with Meta in AI training copyright case

US judge sides with Meta in AI training copyright case

Time of India6 hours ago

A US judge on Wednesday handed Meta a victory over authors who accused the tech giant of violating copyright law by training Llama artificial intelligence on their creations without permission.
District Court Judge Vince Chhabria in San Francisco ruled that Meta's use of the works to train its AI model was "transformative" enough to constitute "fair use" under copyright law, in the second such courtroom triumph for AI firms this week.
However, it came with a caveat that the authors could have pitched a winning argument that by training powerful generative AI with copyrighted works, tech firms are creating a tool that could let a sea of users compete with them in the literary marketplace.
"No matter how transformative (generative AI) training may be, it's hard to imagine that it can be fair use to use copyrighted books to develop a tool to make billions or trillions of dollars while enabling the creation of a potentially endless stream of competing works that could significantly harm the market for those books," Chhabria said in his ruling.
Tremendous amounts of data are needed to train large language models powering generative AI.
Musicians, book authors, visual artists and news publications have sued various AI companies that used their data without permission or payment.
AI companies generally defend their practices by claiming fair use, arguing that training AI on large datasets fundamentally transforms the original content and is necessary for innovation.
"We appreciate today's decision from the court," a Meta spokesperson said in response to an AFP inquiry.
"Open-source AI models are powering transformative innovations, productivity and creativity for individuals and companies, and fair use of copyright material is a vital
legal
framework for building this transformative technology."
In the case before Chhabria, a group of authors sued Meta for downloading pirated copies of their works and using them to train the open-source Llama generative AI, according to court documents.
Books involved in the suit include Sarah Silverman's comic memoir "The Bedwetter" and Junot Diaz's Pulitzer Prize-winning novel "The Brief Wondrous Life of Oscar Wao," the documents showed.
"This ruling does not stand for the proposition that Meta's use of copyrighted materials to train its language models is lawful," the judge stated.
"It stands only for the proposition that these plaintiffs made the wrong arguments and failed to develop a record in support of the right one."
Market harming?
A different federal judge in San Francisco on Monday sided with AI firm Anthropic regarding training its models on copyrighted books without authors' permission.
District Court Judge William Alsup ruled that the company's training of its Claude AI models with books bought or pirated was allowed under the "fair use" doctrine in the US Copyright Act.
"Use of the books at issue to train Claude and its precursors was exceedingly transformative and was a fair use," Alsup wrote in his decision.
"The technology at issue was among the most transformative many of us will see in our lifetimes," Alsup added in his decision, comparing AI training to how humans learn by reading books.
The ruling stems from a class-action lawsuit filed by authors Andrea Bartz, Charles Graeber, and Kirk Wallace Johnson, who accused Anthropic of illegally copying their books to train chatbot Claude, the company's ChatGPT rival.
Alsup rejected Anthropic's bid for blanket protection, ruling that the company's practice of downloading millions of pirated books to build a permanent digital library was not justified by fair use protections.

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Fed fears push dollar to lowest level in 3 years
Fed fears push dollar to lowest level in 3 years

Time of India

time43 minutes ago

  • Time of India

Fed fears push dollar to lowest level in 3 years

A battered dollar is taking another beating as investors, unnerved by fresh signs of an erosion in US central bank independence, waste no time in pushing the greenback back to its lowest levels in over three years. US President Donald Trump on Wednesday called Federal Reserve Chair Jerome Powell "terrible" in his latest attack on the central bank chief and said he has three or four people in mind as contenders for the top Fed job. The dollar was back at multi-year lows against a basket of other major currencies on Thursday, erasing a brief respite provided by safe-haven flows related to West Asia tensions earlier in the week. Down 10% so far this year and set for its worst year since 2003, the dollar was expected to weaken further as renewed concern about Fed independence comes amid increased expectations for rate cuts and a looming July 9 deadline for trade agreements. The leading contenders for next Fed chief reportedly include former Fed governor Kevin Warsh, national economic council head Kevin Hassett, current Fed governor Christopher Waller, and treasury secretary Scott Bessent. Seema Shah, chief global strategist at Principal Asset Management, noted that the dollar had not benefited as much as expected in the past two weeks from heightened West Asia tensions, a sign the dollar's safe-haven role had been hurt. In recent years, the currency has risen when oil rallies, but it gained just 0.7% last week. Concern about Fed independence adds to the damage, investors said. Respect for independent institutions such as central banks has long been viewed as a key attraction of major economies, helping anchor economic stability and provide policy certainty. reuters Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now

S&P 500 few points away from record high it hit in February
S&P 500 few points away from record high it hit in February

Time of India

time43 minutes ago

  • Time of India

S&P 500 few points away from record high it hit in February

A mixed batch of economic data failed to stop the S&P from pushing within a striking distance of a record high, with Treasury yields falling alongside the dollar amid growing bets on Fed rate cuts this year. Tired of too many ads? go ad free now The S& topped 6,100 and is now just a few points away from its Feb 19 closing peak. Banks led gains as an analyst said that as long as there's no recession, it's "game on" for the stocks. Wall Street's renewed rally reflects confidence in AI-fuelled expansion and economic resilience, with investors setting aside geopolitical fears.

Cybercrooks dupe 79-year-old Bengaluru woman of Rs 35 lakh in AI trading scam
Cybercrooks dupe 79-year-old Bengaluru woman of Rs 35 lakh in AI trading scam

Time of India

time2 hours ago

  • Time of India

Cybercrooks dupe 79-year-old Bengaluru woman of Rs 35 lakh in AI trading scam

Bengaluru: A 79-year-old woman from Seshadripuram, central Bengaluru, lost nearly Rs 35 lakh to fraudsters operating a sophisticated artificial intelligence (AI) trading scam. The gang not only cheated her of her savings over eight months but also tried to extort more by threatening her with a fabricated money-laundering case. Archana (name changed) approached Central CEN Crime police for help in recovering her money. She told police she came across a Facebook advertisement promoting AI-based trading. The post featured deepfake videos of Infosys co-founder NR Narayana Murthy endorsing trading platforms. On clicking the link, she was contacted by a woman claiming to be an executive of a UK-based AI trading firm that the deepfake videos had endorsed. The fraudsters created a convincing facade: They registered an account in Archana's name on a fake but professional-looking website, gave her login credentials and assigned her a financial manager named Varun. He claimed the company would credit money to users' accounts as a promotional strategy, which could be withdrawn after clearing the credited amount. The only condition was that when the customer withdrew money, they needed to clear the credit. You Can Also Check: Bengaluru AQI | Weather in Bengaluru | Bank Holidays in Bengaluru | Public Holidays in Bengaluru The website was designed to look genuine. On the homepage, they provided updates on cryptocurrency, and on another page, they displayed stock market updates. Initially, Archana invested 200 dollars in Indian currency to a bank account provided by Varun. After confirming the investment and seeing the profit displayed in her account, she transferred more money, equalling 400 dollars. Archana told TOI, "I didn't invest further or try to withdraw the money for six months. The fraudsters would frequently make WhatsApp calls and explain they were going to purchase companies at a loss and, after a few months, resell them to other firms that were in profit. They mentioned the names of big brands in India." The scamsters started calling her from different numbers starting with +44 — all WhatsApp calls — and began enquiring about her investment in AI trading. She would disconnect the calls, informing them that she'd invested in only one firm. In April, they showed her that the total amount in her account was over Rs 1 crore (in US dollars). They told her Varun had been sacked for committing fraud in trading. Another financial manager named Ajay Sharma was assigned, and he started forcing her to clear the credit and claim the huge amount, Archana told police. "I had some commitments, so I thought of withdrawing the money. They told me they had transferred the dollars to another person named FX, who would convert it into Indian currency and credit it to my account. For that, they asked me to pay Rs 4 lakh as declaration charge. I borrowed money from my daughter and son and paid them. They again told me Varun had committed multiple frauds and sent me screenshots of the same. They asked for Rs 9 lakh more to clear dues and I again borrowed money from my children and paid them, losing over Rs 34.6 lakh in total. "

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store