OpenAI Sued for $3B Over AI Data Scraping

3 min read Lawsuit Alert! Anonymous plaintiffs have filed a class-action lawsuit against OpenAI, claiming unauthorized personal data collection for AI training, raising concerns about privacy laws. Microsoft's involvement in OpenAI's investment is also implicated. June 29, 2023 10:02 OpenAI Sued for $3B Over AI Data Scraping

A group of anonymous individuals has filed a lawsuit seeking class-action status against OpenAI, alleging that the company is stealing personal information to train its AI models without consent, putting privacy laws at risk. The suit also implicates Microsoft, which plans to invest in OpenAI. 

The sprawling lawsuit accuses OpenAI of secretly scraping 300 billion words from the internet, including personal information, in violation of privacy laws. The plaintiffs, identified only by initials, fear backlash and seek $3 billion in potential damages. The lawsuit alleges that OpenAI's actions amount to theft and risk "civilizational collapse." 

The plaintiffs claim that OpenAI's popular chatbot, ChatGPT, and other products are trained on private information taken without consent from hundreds of millions of internet users, including children. OpenAI is accused of misappropriating personal data from integrations with platforms like Snapchat, Spotify, Stripe, Slack, and Microsoft Teams. 

OpenAI is further accused of conducting a clandestine web-scraping operation, violating terms of service agreements, state and federal privacy laws, including the Computer Fraud and Abuse Act. The lawsuit alleges invasion of privacy, larceny, unjust enrichment, and violations of the Electronic Communications Privacy Act.

The lawsuit suggests that OpenAI prioritized chasing profits over its original principle of benefiting humanity. The plaintiffs estimate ChatGPT's revenue for 2023 to be $200 million. Seeking to represent the affected individuals, they request a temporary freeze on commercial access and further development of OpenAI's products. 

This lawsuit highlights the ongoing debate surrounding AI, privacy, and the responsibilities of tech companies. It raises questions about data protection, consent, and the need for robust regulations to safeguard personal information. The legal battle between the plaintiffs and OpenAI is likely to have significant implications for the AI industry. 

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