OpenAI could face a billion-dollar fine over claims it used pirated books in AI training

OpenAI could soon face a billion-dollar fine. Authors and publishers suing the company for copyright infringement have uncovered internal messages and emails about the deletion of a dataset containing pirated books. The plaintiffs now want access to communications between OpenAI and its lawyers, arguing these could show the company acted intentionally. Under US law, fines can reach up to $150,000 per work. The New York court is also considering whether OpenAI waived attorney-client privilege through its own statements. There is also an allegation that evidence was intentionally destroyed.

A similar lawsuit against Anthropic ended in August with a $1.5 billion settlement over the use of pirated books for AI training. This may be one reason both companies have reportedly had trouble securing insurance.