13 July, 2025
judge-rules-in-favor-of-ai-firm-anthropic-in-copyright-case

NEW YORK – A landmark decision by a US judge has ruled that the use of copyrighted books to train artificial intelligence (AI) software does not violate US copyright law, marking a significant victory for AI firm Anthropic.

Immediate Impact

The ruling emerged from a lawsuit filed last year by three authors, including best-selling mystery thriller writer Andrea Bartz, against Anthropic. The authors accused the firm of using their works to train its Claude AI model, allegedly building a multi-billion dollar business on the back of their intellectual property.

Key Details Emerge

Judge William Alsup described Anthropic’s use of the authors’ books as “exceedingly transformative,” thus permissible under US law. However, he denied Anthropic’s request to dismiss the case entirely, requiring the firm to stand trial over its use of pirated copies to compile its extensive library of materials.

“Like any reader aspiring to be a writer, Anthropic’s LLMs trained upon works, not to race ahead and replicate or supplant them — but to turn a hard corner and create something different,” Judge Alsup stated.

Industry Response

Anthropic, supported by major tech giants Amazon and Alphabet, could face damages up to $150,000 per copyrighted work. The firm reportedly holds more than seven million pirated books in its “central library,” according to the judge’s findings.

By the Numbers

  • Potential damages: Up to $150,000 per work
  • Number of pirated books: Over 7 million

What Comes Next

This decision is one of the first to address the contentious issue of how Large Language Models (LLMs) can ethically utilize existing materials for training. Similar legal battles are unfolding across the AI industry, with companies facing lawsuits over the use of journalistic articles, music, and video content.

Background Context

Alongside Bartz, the lawsuit was joined by non-fiction writers Charles Graeber, author of “The Good Nurse: A True Story of Medicine, Madness and Murder,” and Kirk Wallace Johnson, who penned “The Feather Thief.” These authors are part of a broader movement challenging the AI industry’s use of copyrighted content without permission.

Expert Analysis

Judge Alsup’s ruling allowed Anthropic’s “fair use” defense, setting a precedent for future legal judgments. Legal experts suggest this could pave the way for AI firms to negotiate licensing agreements with content creators and publishers, potentially reshaping industry practices.

“If this training process reasonably required making copies within the LLM or otherwise, those copies were engaged in a transformative use,” Judge Alsup noted, emphasizing the non-infringing nature of the training.

Regional Implications

The announcement comes as other media giants such as Disney and Universal pursue legal action against AI image generator Midjourney for piracy. The BBC is also contemplating legal measures to protect its content from unauthorized use by AI technologies.

Timeline of Events

  • 2022: Lawsuit filed by Andrea Bartz and others against Anthropic
  • 2023: Judge Alsup rules in favor of Anthropic’s “fair use” defense
  • Ongoing: Industry-wide legal battles over AI’s use of copyrighted material

As the AI industry continues to evolve, the implications of this ruling may influence how AI technologies are developed and regulated, potentially shaping the future landscape of intellectual property rights.