U.S. Major Publishers in Complex Licensing Talks with OpenAI

Several U.S. news publishers are in negotiations with OpenAI over licensing content for AI training, while the price and terms remain the issue.

In the past few months, a complex negotiation has been unfolding between several major U.S. news publishers and OpenAI, the creator of ChatGPT. This discussion centered around licensing their content to OpenAI, but it has proven challenging, with agreement on the price and terms remaining elusive.

The New York Times recently brought these ongoing talks into the public eye by filing a lawsuit against OpenAI and Microsoft, alleging copyright infringement. This legal action has underscored the gravity of the situation, where leading news outlets, including Gannett, News Corp, and IAC, have been engaged in similar conversations with OpenAI.

The News/Media Alliance, representing a broad spectrum of North American news organizations, has also been seeking a collective framework for an agreement with OpenAI. Microsoft, a significant investor in OpenAI and integrator of its technology, acknowledges the complexity of these dialogues but remains hopeful for future progress.

With extensive and licensed news content for training, AI systems like OpenAI, already capable of producing remarkably human-like text, will develop at an even faster pace that affects a variety of industries involving content creation. Nearly a dozen publishing executives and media business experts have pointed out that this technological leap forward raises significant concerns about the future of the media industry.

OpenAI has emphasized its respect for the rights of content creators and owners, and remained optimistic about finding mutually beneficial solutions, especially that the company has achieved deals with The Associated Press and the German conglomerate Axel Springer.

News publishers still in negotiation, however, are approaching these talks with caution, mindful of past experiences where their content was undervalued by tech giants. The fear of AI potentially misrepresenting or inaccurately citing their content, thereby harming their credibility, adds another layer of complexity to these discussions.

There are also media companies like Bloomberg and The Washington Post that have chosen a different path, focusing on their internal AI developments rather than prioritizing commercial deals with OpenAI.

The road to a comprehensive settlement between these media giants and OpenAI is fraught with challenges and uncertainties.Executives like Jim Friedlich of the Lenfest Institute for Journalism see the interdependence between news organizations and AI firms as a reality that needs to be carefully balanced.

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