News/Law
Artists Gain Ground in AI Copyright Lawsuits
AI copyright lawsuit advances: A federal judge has allowed key claims in a lawsuit against several AI companies to proceed, marking a significant development in the ongoing legal battles over AI-generated art and copyright infringement. The legal landscape: The lawsuit, filed by a group of artists against AI companies including Stability AI, Midjourney, DeviantArt, and Runway AI, has gained traction as some claims were permitted to move forward while others were dismissed. The judge allowed a claim of induced copyright infringement against Stability AI to proceed, potentially setting a precedent for how AI companies may be held responsible for the...
read Aug 12, 2024AI Sparks Job Fears Among Animators as Union Negotiations Begin
AI's impact on animation industry sparks concerns: The Animation Guild is initiating negotiations with major studios regarding the use of artificial intelligence in animation, as many professionals in the field express worries about potential job displacement. Mike Rianda, director of "The Mitchells vs. the Machines," has emerged as a vocal advocate for protecting animation jobs from AI replacement. Recent statements by some studio executives have suggested that AI could significantly reduce the animation workforce, fueling anxieties within the industry. A rally in Burbank saw animation workers gathering to protest the potential impact of AI on their livelihoods, highlighting the growing...
read Aug 12, 2024Artists Celebrate as Copyright Case Reaches New Milestone
The ongoing legal battle between artists and AI image generation companies has reached a significant milestone, with potential far-reaching implications for the AI industry and copyright law. Legal breakthrough for artists: A federal judge has ruled that a copyright infringement case against prominent AI image generation companies can proceed to the discovery phase, marking a crucial development in the ongoing debate over AI and intellectual property rights. The case, filed in January 2023, targets Midjourney, Runway, Stability AI, and DeviantArt, alleging that their AI image generators, based on the Stable Diffusion model, were trained on copyrighted works without proper authorization....
read Aug 8, 2024Why It’s Time for Lawfirms to Go All-In on AI
The legal industry stands at the cusp of a significant transformation as artificial intelligence promises to revolutionize law firm operations, offering unprecedented efficiency gains and competitive advantages. This shift towards AI integration in legal practices is not just a trend, but a necessity for firms looking to stay ahead in an increasingly technology-driven landscape. AI's potential in legal practice: Artificial intelligence presents a unique opportunity for law firms to dramatically increase their return on investment and operational efficiency. The legal profession is particularly well-positioned to benefit from AI implementation, with potential productivity gains far exceeding the typical 10-20% seen in...
read Aug 8, 2024AI Search Revolution May Outpace Google’s Antitrust Battle
The recent antitrust ruling against Google's search engine dominance marks a significant moment in the tech industry, but the rapid advancement of artificial intelligence may reshape the search landscape before legal remedies take effect. Legal verdict and immediate implications: A federal judge has ruled that Google's search engine illegally exploits its dominant position to stifle competition and innovation in the market. The ruling, delivered by Judge Amit Mehta, focused on Google's lucrative deals to be the default search engine on various devices, which accounted for 60% of Google's search traffic in 2017. Despite the verdict, immediate effects for consumers and...
read Aug 5, 2024Musk Battles OpenAI in Court Over AI Ethics and Profits
Musk sues OpenAI and founders over alleged betrayal: Elon Musk has initiated legal action against artificial intelligence company OpenAI and two of its founders, Sam Altman and Greg Brockman, claiming they abandoned the organization's original mission of benefiting humanity in favor of profit-seeking. Background and allegations: The lawsuit, filed in a Northern California federal court, paints a picture of idealism corrupted by financial motives. Musk asserts that he invested "tens of millions" of dollars and played a crucial role in recruiting top AI researchers when OpenAI was established in 2015. The legal complaint characterizes the situation as a "textbook tale...
read Aug 4, 2024Massachusetts Lawsuit Reveals AI Pricing and Compensation in Uber and Lyft
The recent Massachusetts lawsuit against Uber and Lyft has exposed the sophisticated artificial intelligence algorithms powering these ride-hailing giants, revealing a complex system of predictive pricing and driver compensation that raises important questions about fair labor practices and consumer pricing in the gig economy. AI-driven pricing strategy: Uber and Lyft employ advanced algorithms that predict passengers' willingness to pay based on various factors: The AI systems analyze data from millions of trips to make pricing decisions. Pricing can vary significantly for different destinations, even within the same timeframe and starting point. For instance, after a Celtics game, a ride to...
read Aug 2, 2024AI Music Startups Defend Copyright Infringement, Arguing Fair Use in Landmark Lawsuits
The AI music startups Suno and Udio are pushing back against copyright infringement lawsuits filed by major record labels, arguing that training their AI models on copyrighted material falls under fair use and that the lawsuits aim to stifle competition in the music industry. The RIAA's accusations: The Recording Industry Association of America (RIAA), representing major record labels, filed lawsuits against Suno and Udio in June, alleging massive copyright infringement: The RIAA claims that some tracks generated by Suno and Udio contain vocals sounding identical to famous artists like Bruce Springsteen, Michael Jackson, and ABBA. The lawsuits seek damages of...
read Jul 26, 2024AI Legal Startups Surge as VCs Bet on Measured Approach
AI-powered legal-tech startups gain traction as they take a measured approach to the technology's potential. Investors are rewarding law-focused AI companies like Harvey and Clio with rich new valuations as founders emphasize a hybrid approach that combines AI with existing legal services and acknowledges the technology's current limitations. Key developments driving investor interest: Several factors are fueling the unprecedented flow of capital into legal tech startups: Legal-tech startups are taking a more measured approach, emphasizing AI's fallibility upfront and using a hybrid model that integrates AI with proven legal services and products. There has been an estimated 100% growth in...
read Jul 25, 2024Senate Passes Landmark Bill to Combat Nonconsensual Deepfake Porn
The DEFIANCE Act, a bipartisan bill to provide legal recourse to victims of non-consensual deepfake pornography, has unanimously passed the Senate and now heads to the House. Key legislative details: The DEFIANCE Act amends the Violence Against Women Act to allow victims to sue producers, distributors, or recipients of deepfake porn if they knew or recklessly disregarded the lack of consent: The bill provides a civil cause of action for both adults and minors, becoming the first federal law to do so if passed by the House. Recent amendments clarify the definition of "digital forgery," update available damages, and add...
read Jul 22, 2024Supreme Court Ruling Has Big Implications for AI Regulation
The Supreme Court's recent decision in Loper Bright Enterprises v. Raimondo has significantly weakened federal agencies' authority to regulate various sectors, including AI, leading to uncertainty about the future of AI regulation in the U.S. Agency expertise vs. judicial oversight: The court's decision shifts the power to interpret ambiguous laws from federal agencies to the judiciary, potentially undermining the ability of specialized agencies to effectively regulate AI: Agencies like the FTC, EEOC, and FDA have expertise in AI regulation within their respective domains, while the judicial branch lacks such specialized knowledge. The majority opinion argues that courts, not agencies, have...
read Jul 17, 2024AI in Law: Navigating the Ethical Minefield of Automation Bias
The rapid advancements in AI and automation pose significant ethical challenges, particularly in the legal sector, where automation bias and complacency can have far-reaching consequences. The legal industry's vulnerability to AI-related issues: As a traditionally slow adopter of technology, the legal sector is now grappling with the profound impact of AI on knowledge-based tasks: Lawyers, often considered the "canaries in the coal mine" for knowledge work, are highly susceptible to machines providing answers more quickly, making automation bias and complacency substantial threats to the profession. The assumption that younger, digital-native generations are better equipped to discern fake information and guard...
read Jul 15, 2024AI Liability Insurance Emerges as AI Adoption Grows and Risks Become Apparent
As artificial intelligence becomes ubiquitous across industries and applications, touching every person's life, the potential for AI-driven errors and liabilities is growing, prompting discussions about accountability and the role of insurance in managing AI risks. Key considerations for AI liability insurance: Historical data on AI-related damages is limited, making it challenging for insurers to determine appropriate premiums and coverage levels. Some insurers may initially overprice AI insurance to mitigate risks as they collect more data, potentially locking out some customers. Annual AI insurance premiums are projected to be a small fraction (around 0.012%) of the total non-life insurance premiums worldwide,...
read Jul 10, 2024Spanish Teens Sentenced for AI-Generated Nude Images, Sparking Debate on Deepfake Abuse
A Spanish court has sentenced 15 teenagers to a year's probation for creating and sharing AI-generated naked images of their female classmates, sparking a debate on the harmful uses of deepfake technology and the need for proper education on gender equality and responsible technology use. Case details and court ruling: The investigation began after parents in the town of Almendralejo reported that fake nude pictures of their daughters were circulating on WhatsApp groups: The teenagers, aged between 13 and 15, used AI applications to superimpose the girls' faces from social media profiles onto naked female bodies. The manipulated photos were...
read Jul 10, 2024Judge Dismisses Most Claims in GitHub Copilot Copyright Lawsuit, Narrows Case
The copyright lawsuit against GitHub, Microsoft, and OpenAI over the AI-powered GitHub Copilot tool has been significantly narrowed, with a judge dismissing most of the claims brought by a group of developers. Key developments in the case: Judge Jon Tigar's ruling dealt a major setback to the developers' lawsuit, which originally made 22 claims against the companies: Nearly all of the claims were dismissed, leaving only two standing: an accusation of open-source license violation and an allegation of breach of contract. The judge determined that the code allegedly copied by GitHub Copilot wasn't similar enough to the developers' original work...
read Jul 8, 2024NYT vs. OpenAI: Landmark Copyright Case Could Shape Future of AI
The copyright battle between OpenAI and The New York Times could shape the future of generative AI, as the case tackles fundamental questions about the legality of data training practices used by AI companies. Key legal dispute over generative AI's reliance on copyrighted data: The NYT alleges that OpenAI infringed on copyrights by using Times articles without permission to train its AI models, while OpenAI argues that this practice falls under fair use and is necessary for developing advanced AI systems. OpenAI is seeking access to reporters' notes and other materials related to the articles in question, claiming it needs...
read Jul 5, 2024China Dominates AI Patents, but U.S. Remains Competitive, Experts Say
China is vastly outpacing rivals in the global race for generative AI patents, but experts say this doesn't necessarily mean it's winning the AI war against the U.S. Key findings from UN report: A new report from the World Intellectual Property Organization (WIPO) reveals China's dominance in generative AI patents: China has filed over 38,000 patents for generative AI inventions since 2014, accounting for 70% of the global total and more than all other countries combined. The U.S. lags far behind in second place with nearly 6,300 patents, less than one-sixth of China's count. South Korea, Japan, and India round...
read Jul 5, 2024AI Training Data Battles: Music Lawsuits, News Deals Reshape Industry Landscape
The generative AI boom is fueling a surge in demand for training data, but AI companies are facing growing challenges in obtaining it freely as data owners push back. Key developments in the AI training data landscape: The music industry's lawsuit against AI music companies Suno and Udio sends a strong message that high-quality training data is not free: Sony Music, Warner Music Group, and Universal Music Group are suing Suno and Udio for alleged copyright infringement, claiming the companies used copyrighted music in their training data "at an almost unimaginable scale." The lawsuits could set a precedent for the...
read Jul 4, 2024AI Fuels Merger Frenzy in Underpenetrated Legal Contract Management Software Market
The generative AI boom is driving a wave of mergers and acquisitions in the niche but growing market for contract lifecycle management (CLM) software. Growing momentum around contract management and AI: The convergence of several tech and market trends, including the rise of generative AI, is driving increased interest in CLM software: Legal services is one of the industries most "exposed" to generative AI according to a recent academic study, fueling interest in incorporating this technology into CLM software. "There's a lot of interest in generative AI . . . and if you look at all the predictions out there,...
read Jul 2, 2024Hollywood Union Secures Landmark Deal with AI Rules, Pay Hikes, and Improved Conditions
The International Alliance of Theatrical Stage Employees (IATSE) has reached a tentative three-year agreement with the Alliance of Motion Picture and Television Producers (AMPTP), which includes wage increases, new rules for artificial intelligence usage, and improved working conditions for Hollywood crew members. Key terms of the deal: The contract includes wage increases of 7%, 4%, and 3.5% over the three-year term. Hourly workers are entitled to triple pay for workdays exceeding 15 hours, and on-call employees qualify for double pay on the seventh consecutive workday to discourage excessive work hours. Employers must negotiate with the union when implementing AI behind...
read Jun 27, 2024Legal Teams Embrace Generative AI: Prompt Engineers, Productivity Gains, and Precautions
In-house legal departments are starting to explore the use of generative AI, with some companies like ASML hiring dedicated "prompt engineers" to help lawyers take advantage of the technology: Generative AI as a game-changer for legal teams: The large language models used by generative AI are transforming how in-house legal departments operate, as many legal activities are text-based: ASML's chief legal counsel Sandrine Auffret believes generative AI will deliver substantial time savings and increase the quality of service for the company's legal team. About 15 of ASML's 100 lawyers are using a generative AI-powered tool from law firm A&O Shearman...
read Jun 26, 2024AI Music Startup Udio Fights Back Against Record Labels’ Copyright Lawsuits
Udio, an AI music startup, has responded to copyright infringement lawsuits filed by major record labels, asserting that its AI model does not reproduce copyrighted works and instead creates new musical ideas. Udio's mission and impact: Udio aims to empower artists and musicians to create extraordinary music using AI technology, and has already seen its platform used in various ways: Musicians who have lost the ability to use their hands are making music again with Udio's technology. Producers have sampled AI-generated tracks to create hit songs like 'BBL Drizzy'. Users have expressed a wide range of emotions through the music...
read Jun 25, 2024Record Labels Sue AI Music Startups Udio and Suno Over Alleged Copyright Infringement
Universal Music Group, Sony Music Entertainment, and Warner Music Group are suing generative AI music startups Suno and Udio over alleged copyright infringement, with the lawsuits including examples of AI-generated songs that closely resemble the work of human artists. Key Takeaways: The lawsuits filed by major record labels against Suno and Udio underscore the growing tension between the music industry and AI companies: The plaintiffs, which include Universal Music Group, Sony Music Entertainment, and Warner Music Group, claim that Suno and Udio have infringed on their copyrights by using their music to train AI models without permission. Examples of AI-generated...
read Jun 24, 2024RIAA Sues AI Startups Over Copyrighted Music, Highlighting Growing Tensions in Creative Industries
The Recording Industry Association of America is suing two AI startups, Suno and Uncharted Labs, alleging they used copyrighted music to train their AI systems without consent from the record labels, highlighting the growing tensions between the music industry and AI developers. Key Details: The lawsuits target Suno, which raised $125 million last month, and Uncharted Labs, the developer behind Udio, known for the viral AI-generated "BBL Drizzy" song: Suno and Udio are accused of training their AI models with the labels' unlicensed sound recordings to enable users to create songs with just a few prompts. Udio relies on OpenAI's...
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