New lawsuit seeks to bring OpenAI to court amid growing regulatory pressure on artificial intelligence

AI For Business


The potential impact of AI on data privacy and intellectual property has been a hot topic over the past few months, but a new lawsuit filed against OpenAI addresses both issues in California courts. It is intended to

In a class action lawsuit filed last week, lawyers allege that OpenAI violates state and federal copyright and privacy laws when collecting data used to train language models used by ChatGPT and other generative AI applications. claimed to have violated According to the complaint, OpenAI stole personal data from people by scraping the internet, various applications such as Snapchat, Spotify and Slack, as well as the health platform MyChart.

Instead of focusing solely on data privacy, the complaint filed by Clarkson Law Firm also alleges that OpenAI violates copyright law, which still has many facets. is a legal gray area. Intellectual property protection is also the focus of another lawsuit filed last week by another company, alleging that OpenAI misused the work of two US authors during ChatGPT training.

“This matter is moving at an exponential pace and becoming more and more complex with our way of life by the day, so it is time for the courts to take action before it becomes too entwined and irreversible. Addressing these issues is critical,” said Clarkson Law. Ryan Clarkson, managing partner of the company, told Digiday. “We are still trying to learn lessons from social media and its negative externalities, but this is adding rocket fuel to those issues.”

The lawsuit filed by Clarkson does not list plaintiffs’ direct names, but does include the initials of a dozen people. The company is also actively seeking plaintiffs to join the class action lawsuit, sharing details about how it has used various AI products, including ChatGPT, OpenAI’s image generator DALL-E, and voice mimickers. We also have a website where you can. VALL-E, or his AI products from other companies such as Google and Meta.

OpenAI, whose technology is already used in advertising platforms such as Microsoft’s Bing search and a new chat advertising API for publishers, did not respond to Digiday’s request for comment. However, the company’s privacy policy, last updated on June 23rd, states that the company does not “sell” or “share” personal information for cross-context advertising and that it “willingly share” the personal information of children under 13. It says it doesn’t “collect”. OpenAI also has separate privacy policies for employees, applicants, contractors and guests updated in his February. In those terms, the company said it had not “sold or shared your personal information for targeted advertising purposes in the past 12 months,” while another section stated that users could “use cross-context behavioral advertising.” It also states that you have the right to opt out of ”

In Clarkson’s complaint, the attorneys also allege that OpenAI has committed ad abuse, including predatory ads targeting minors and vulnerable groups, algorithmic discrimination, and “other unethical and harmful conduct.” Alleges that it violated privacy laws when collecting and sharing data for Tracy Cowan, another Clarkson partner involved in the OpenAI lawsuit, said the company represented numerous minor plaintiffs concerned that AI technology was being introduced to children without proper guardrails. said there is. She said this raises a different set of issues than concerns related to adult poverty encroachment.

“This really just puts the spotlight on the dangers associated with unregulated and untested technology,” Cowan said. “Bringing a claim against minors puts safety guardrails around this technology and ensures some transparency about how companies obtain and use our information. And it’s very important for the reason I think it’s very important to get a certain amount of compensation” to make sure people agree. ”

Legal challenges arise as the AI ​​industry faces increasing scrutiny. The U.S. Federal Trade Commission also released a new blog post late last week suggesting that generative AI raises “competitive concerns” related to data, people, computing resources and other areas. The European Union is pushing forward with a proposal to regulate AI with an ‘AI law’, with executives from more than 150 companies writing an open letter to the European Commission saying the regulation is ineffective and could stifle competition. I am warning you. U.S. lawmakers are also exploring the possibility of regulation.

Despite the uncertain and evolving legal and regulatory landscape, more marketers see AI as more than just a new trend, with the potential to have a major impact on many areas of business. No regards, moving forward. But that doesn’t mean that many haven’t yet suggested experimenting with attention to companies.

Greg Swan, head of creative and strategy at Minneapolis-based agency Social Rights, said he counsels teams wanting to test generative AI tools against copying and pasting generative content directly into marketing materials. Told.

“I tend to think of AI and the industry as a whole like precocious teenagers who think they need everything and they need traffic rules, but they still need adult supervision,” Swann said. “It is incredibly difficult to know the line between inspiration and plagiarism. problem is the same.”

Instead of scraping data without permission, some AI startups take a different approach to the process. For example, Israel-based Bria only trains its visual AI tools with content that it has already licensed for use. It’s expensive but low risk, and the company hopes the process will be profitable. (Bria’s partners also include Getty Images, which earlier this year sued Stability AI for allegedly stealing 12 million images and using them without permission to train his generator of open source AI art.) I did.)

“The market will react faster than the legal system,” said Bered Horesh, head of strategic AI partnerships at Bria. “And if they respond, AI companies will be forced to act more responsibly … It is well known that models are no longer moats. Data is moats.”



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