News Outlets Sue OpenAI and Microsoft Over AI Training
Seattle Times and Newsday allege copyright infringement and paywall bypass.
1Lawsuit Overview
The Seattle Times and Newsday have sued OpenAI and Microsoft, alleging unauthorized use of their journalism to train AI models. The lawsuit claims AI-generated content bypasses paywalls, cutting into traffic and ad revenue. This follows similar suits by The New York Times and 400 local newspapers. The publishers describe generative AI as 'a snake eating its own tail,' threatening the journalism industry.
2Paywall Bypass Allegations
The complaint accuses OpenAI and Microsoft of scraping articles in a way that circumvents paywalls, violating access restrictions. In the EU, OpenAI's AI code commits to not bypassing paywalls, citing the 2001 copyright directive. The lawsuit argues this practice undermines subscription models and deprives publishers of revenue. The legality of paywalls as 'machine-readable' rights reservations remains untested in court.
3Copyright and Hallucination Claims
The publishers allege AI models strip copyright management information and hallucinate, attributing false information to their outlets. This mirrors concerns in other lawsuits, like The New York Times'. The suit highlights how AI reproduces passages from original reporting, raising questions about derivative content and fair use. Microsoft calls the lawsuit 'surprising' but is open to discussions.
4Industry Impact
The lawsuit warns AI could 'destroy the very organizations' that produce the content it trains on. It cites declining traffic and ad revenue as direct harms. OpenAI and Microsoft have funded journalism projects, adding irony to the dispute. The case reflects broader tensions between AI developers and content creators over compensation and control.
5Legal Precedents
The suit joins The New York Times' 2023 case and others by Ziff Davis and Encyclopedia Britannica. Nearly 400 local newspapers have also sued OpenAI and Microsoft. Some publishers, like AP and Vox Media, licensed their archives instead. The outcome could set precedents for AI training data sourcing and copyright enforcement.
6Microsoft's Response
Microsoft expressed surprise at the lawsuit but remains open to resolving disputes. The company filed a motion to dismiss claims about lost licensing fees and market dilution. Microsoft's fair use brief focuses on books, not paywall bypassing. The timing of the suit coincides with OpenAI's GPT-6 Astra rollout, adding complexity to the case.
7EU AI Code Compliance
OpenAI's EU AI code prohibits circumventing paywalls and requires crawlers to respect robots.txt. The code, active since August 2025, doesn't cover past alleged violations. Whether paywalls qualify as 'effective technological measures' under EU law is unresolved. The directive emphasizes machine-readable rights reservations, but no court has ruled on paywalls specifically.
8Broader Implications
The case highlights the clash between AI innovation and copyright protection. Publishers seek compensation for content used in AI training, while developers argue for fair use. The outcome could reshape how AI models are trained and monetized. With GPT-6 Astra's release, the stakes for both sides are higher than ever.
Original article: The Next Web — News Outlets Sue OpenAI and Microsoft Over AI Training