Anthropic Reaches Settlement in Landmark AI Copyright Case

Artificial intelligence firm Anthropic has settled a class action lawsuit with U.S. authors accusing it of copyright infringement for AI training. The case, the first of its kind, saw Anthropic potentially liable for billions over allegedly using pirated books without permission. Settlement details are forthcoming.

Anthropic, an AI company, announced on Tuesday it has resolved a class action lawsuit involving U.S. authors who alleged the company infringed on their copyrights for AI training purposes. This marks the first settlement among several high-profile AI copyright lawsuits in the nation.

Last year, authors Andrea Bartz, Charles Graeber, and Kirk Wallace Johnson accused Anthropic of unlawfully using pirated books to train its AI system, Claude. The lawsuit contended that up to 7 million books might have been downloaded by Anthropic, potentially costing the company billions in damages.

According to U.S. District Judge William Alsup, though Anthropic argued for fair use in creating transformative AI content, it failed by storing millions of pirated books in a central library. A trial, now moot due to the settlement, was set to determine monetary liabilities for the alleged piracy.