Newly unsealed court filings show Microsoft privately called OpenAI's data practices "theft" while both companies scraped paywalled Times content, built datasets from it, and warned internally it would gut publishers.

In the class-action lawsuit involving The New York Times, the US Department of Justice argues that training AI models on copyrighted text qualifies as fair use. The filing directly contradicts a report from the US Copyright Office. Its director was fired by the Trump administration shortly after the report was published.

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