| Anthropic wins key U.S. ruling in authors’ copyright case |
Source: Midjourney v7 |
| A federal court just issued the first major decision on how copyright law applies to generative AI. The verdict gave Anthropic a partial victory, affirming that using books to train its Claude model qualifies as fair use. However, it also exposed the company to possible damages regarding how those books were obtained and stored. |
| What the court found: U.S. District Judge William Alsup ruled that Anthropic’s use of books without permission to train its artificial intelligence system was legal under U.S. copyright law, marking the first to address it in the context of generative AI. |
| The judge said Anthropic made “fair use” of books by writers Andrea Bartz, Charles Graeber and Kirk Wallace Johnson to train Claude, describing the process as “quintessentially transformative.””Like any reader aspiring to be a writer, Anthropic’s LLMs trained upon works not to race ahead and replicate or supplant them — but to turn a hard corner and create something different,” Alsup said. Alsup said that Anthropic’s copying and storing more than 7 million pirated books in a “central library” infringed copyrights and was not fair use. |
| The company will face trial in December, where damages could reach up to $150,000 per work if the infringement is ruled willful. That’s $1.05 trillion for those doing mental gymnastics on 7 million pirated books. |
| How Anthropic built its dataset: Authors alleged that Anthropic used pirated versions from datasets including Books3, Library Genesis and Pirate Library Mirror. |
| In January 2021, Anthropic cofounder Ben Mann “downloaded Books3, an online library of 196,640 books that he knew had been assembled from unauthorized copies,” Alsup found. Mann then downloaded “at least five million copies from LibGen and another two million from PiLiMi“, both known piracy sites.When Anthropic claimed the source was irrelevant to fair use, Alsup disagreed: “This order doubts that any accused infringer could ever meet its burden of explaining why downloading source copies from pirate sites that it could have purchased or otherwise accessed lawfully was itself reasonably necessary.” |
| Anthropic later bought books in bulk and scanned them, but “That Anthropic later bought a copy of a book it earlier stole off the internet will not absolve it of liability for the theft,” Alsup said. |
| The broader impact: This ruling comes as 39 copyright lawsuits against AI companies pile up in federal courts. The New York Times case against OpenAI and Meta’s ongoing litigation suggests this ruling could have wide-reaching implications across the industry. |
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Source: Midjourney v7