Microsoft and OpenAI: Are we stealing your data? Oh, no, you give them to us yourself.

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Legal disputes about the victory of AI over user privacy continue.

Microsoft and OpenAI are caught in the middle of another legal battle that could have far-reaching consequences for the artificial intelligence industry. In the lawsuit T. et al v. OpenAI LP et al (3: 23-cv-04557-VC), a group of 13 plaintiffs accuse the companies of illegally collecting and using vast amounts of personal information to train AI models, including copyrighted works, photos, financial information, and medical information.

The document, filed in September 2023, alleges that OpenAI and Microsoft for many years " secretly collected from the Internet everything that was ever created and posted online by hundreds of millions of Americans." The plaintiffs, represented by law firms Morgan and Morgan Complex Litigation Group and Clarkson Law Firm, say tech giants are setting dangerous precedents that undermine the future of industries such as art, music and journalism.

In the center of the dispute is the issue that the use of copyright materials and personal information always requires the direct consent of the copyright holder. The plaintiffs demand that users have the opportunity to delete their data from the training database by force.

Clarkson Law Firm points out that OpenAI's position will actually change the very nature of the internet. "OpenAI's legal position will change the internet forever, as the only way to protect all of our personal information, family photos, copyrighted works, art, and more is to completely stop using it," said Managing partner Ryan Clarkson.

Microsoft and OpenAI reject the charges, claiming that the plaintiffs did not provide evidence of damage and did not indicate exactly what confidential information was collected illegally. The respondents claim that people themselves agree to the terms of use of their products, and insist that the use of publicly available data for AI training is not contrary to the law.

Microsoft is making similar arguments in another court case, The New York Times ' claim for copyright infringement. In this case, the lawyers call the plaintiff's concerns about the harm caused by artificial intelligence "apocalyptic futurology."

The plaintiffs in the case against OpenAI and Microsoft, however, insist on the illegality of the companies actions. They added that the data collection included "users' location, financial information from Stripe, music tastes through Spotify, analysis of private conversations in Slack and Microsoft Teams, as well as confidential medical data from portals like MyChart."

The outcome of this case, which is being considered by Judge Vince Chhabria, may set future rules for machine learning. If the plaintiffs win, this could have serious consequences for OpenAI and Microsoft, including the forced removal of user data from their models.

Such a scenario will undoubtedly slow down the development of artificial intelligence technologies and call into question the legality of existing methods. It can also open the floodgates for new lawsuits from other companies and individuals.
 
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