OpenAI Faces Legal Action Over Alleged Data Theft in AI Training | National Crowdfunding & Fintech Association of Canada

The Byte | Maggie Harrison | Jun 29, 2023

Image: Unsplash/ilgmyzin

OpenAI, the creator of ChatGPT, is facing a class action lawsuit in California for allegedly violating privacy and copyright laws.

• The suit claims that the company’s AI training practices involved the unauthorized use of a vast amount of data scraped from various online sources, including social media posts, Wikipedia articles, and even niche erotica.
• The lawsuit argues that OpenAI’s failure to seek consent from the original content creators or follow proper procurement guidelines amounts to data theft. The company is accused of systematically scraping 300 billion words from the internet, including personal information obtained without consent.

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• The case’s outcome remains uncertain due to the complex nature of internet infrastructure and the broad licensing agreements users typically grant to online platforms. Legal experts suggest it may be challenging for individuals to claim entitlement to payment or compensation for the use of their data in AI training.

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