NYT slams Microsoft for building copyright-infringing supercomputer for OpenAI

TL;DR

The New York Times (NYT) is amending its copyright complaint against OpenAI and Microsoft.
The NYT claims Microsoft built a bespoke supercomputing system to help OpenAI infringe on NYT's copyrighted works.
This amendment aligns the complaint with a new legal standard for contributory infringement following a Supreme Court ruling.
The NYT is also voluntarily dismissing two claims of contributory copyright infringement and trademark dilution.
Microsoft views the amended complaint as a 'last-ditch effort' due to unfavorable legal precedent.
The NYT alleges Microsoft's supercomputer was designed to train AI on the internet, disproportionately featuring NYT works.
The newspaper argues that Microsoft has profited significantly, with its market capitalization increasing by a trillion dollars, partly due to AI models trained on NYT content.
The NYT presents evidence of AI outputs that reproduce its articles verbatim or falsely attribute content, causing market harm and reputational damage.
OpenAI maintains that its models are trained on publicly available data and are grounded in fair use, and that ChatGPT is not a substitute for a NYT subscription.
The NYT seeks permanent injunctive relief and damages, asserting that the defendants have wrongfully profited from copyrighted works.

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