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08. September 2025
Ai Giant Anthropic Paying 15 Billion To Authors Over Copyright Infringement
The landmark decision by Anthropic to pay $1.5 billion in damages to authors whose books were allegedly used to train its AI systems is a significant milestone in the ongoing debate about the ethics of AI development and the need for clearer regulations around the use of copyrighted content.
The settlement, which covers around 500,000 works, comes after a long and complex battle between Anthropic and a group of authors who accused the company of using pirated books without permission. The authors claimed that Anthropic had scraped full copies of their books from online archives like LibGen and used them to train its AI models.
The settlement is significant not only because of its size but also because it sets a precedent for how companies like Anthropic will be held accountable for using copyrighted material in their AI training datasets. The deal also highlights the growing concerns about the ethics of AI development and the need for clearer regulations around the use of copyrighted content.
Under the terms of the settlement, Anthropic will pay out $3,000 per book to authors whose works were used to train its AI systems. This amount is significant, as it’s estimated that Anthropic has trained its models on millions of books over the years. While the exact number of books covered by the settlement is still unknown, estimates suggest that around 500,000 works will be affected.
The fine print of the settlement is also worth noting. The agreement only covers past acts, meaning that Anthropic does not get a license to use copyrighted material for future training purposes. Additionally, any new claims after August 25, 2025, are still fair game, and Anthropic will continue to pay out $3,000 per book until the checks are mailed.
The case against Anthropic is just one of many high-profile lawsuits brought by authors and artists against AI companies. The lawsuit highlights the growing concerns about the ethics of AI development and the need for clearer regulations around the use of copyrighted content.
Australian authors have also come forward to express their outrage over the use of pirated books in training AI models. Holden Sheppard, author of Invisible Boys, said that two of his books and two short stories were included in the LibGen dataset without his permission. He expressed his frustration at the lack of compensation and argued that big tech companies should be held accountable for their actions.
The case has sparked a wider debate about the ethics of AI development and the need for clearer regulations around the use of copyrighted content. Some experts argue that the current system is inadequate, and that new laws are needed to protect authors’ rights.
Stephen King, one of two commissioners leading the Productivity Commission’s inquiry into harnessing the opportunities of the digital economy, said that copyright is a great example of where Australia needs to sit back and ask: “Are our laws fit for purpose with AI?” The commission has recommended changing copyright rules to include an outcomes-based approach, rather than a “box-ticking” exercise.
The Anthropic case has also highlighted the growing concern about the national security implications of AI development. Scott Farquhar, co-founder of software company Atlassian, argued that creating exemptions for text and data mining could unlock billions of dollars of foreign investment into Australia.
However, not everyone is convinced that new laws are needed. The Copyright Agency, a not-for-profit organization that collects and distributes royalties to thousands of copyright holders, has argued instead for the government to create a new compensation scheme for creators of content used by tech companies to train their AI models.
As the debate continues, one thing is clear: the use of copyrighted material in AI training datasets is a complex issue that requires careful consideration. The Anthropic settlement provides a glimpse into the complexities of this issue and highlights the need for clearer regulations around the use of copyrighted content.
The impact of the settlement on the future of AI development is also worth noting. While some argue that Anthropic’s settlement sets a fair precedent, others believe that it will stifle innovation and limit the potential of AI to drive economic growth. The industry argues that their training counts as “fair use,” but this argument raises complex questions about the ethics of AI development.
The case has sparked a wider debate about the role of big tech companies in driving economic growth and their responsibility to authors and creators. As the industry continues to evolve, it is essential that we have open and honest discussions about these issues and work towards creating regulations that balance the need for innovation with the need to protect intellectual property rights.
The Anthropic settlement provides a necessary step towards this goal, but much work remains to be done. The case highlights the need for clearer regulations around the use of copyrighted content and raises important questions about the ethics of AI development.
As we move forward, it is essential that we prioritize transparency, accountability, and collaboration between industry leaders, policymakers, and creators. By working together, we can create a future where innovation and economic growth are balanced with the need to protect intellectual property rights.
In this context, the Anthropic settlement serves as an important reminder of the complex issues at stake. While it provides some relief to authors affected by Anthropic’s actions, it also raises critical questions about the role of big tech companies in driving economic growth and their responsibility to creators.
Ultimately, the future of AI development will depend on our ability to navigate these complexities and create a regulatory framework that balances innovation with protection of intellectual property rights. The Anthropic settlement provides an important step towards this goal, but much work remains to be done.