Cohen Quoted in Bloomberg Law on AI Copyright Settlement

Manatt Digital and Technology Partner was quoted in Bloomberg Law on the recent settlement resolving an artificial intelligence (AI) startup’s copyright lawsuit, one of the largest to date in the AI and intellectual property space and the first major settlement in a case against a generative AI company.

After the company was sued by several authors for allegedly misusing proprietary online content—particularly downloading pirated versions of their copyrighted texts to train its large-language AI models—Anthropic agreed to pay about $3,000 for each of about 500,000 books in the class action as well as destroy the data it was accused of downloading. 

Cohen called it a partial victory for Anthropic, noting that the settlement amount is less than 1% of the company’s valuation. “Seems like a win for Anthropic that it isn’t required to break the models, just delete the data,” he said.

Bloomberg Law subscribers can read the full article .