Who Owns the Internet AI Trained On
In 2023, authors began discovering that their own books had trained the chatbots now answering millions of questions a day. Within three years, the same underlying question was in front of federal judges in California, Delaware and New York: is training an AI model on copyrighted writing fair use, or copying at an industrial scale copyright law was never built to allow?
This video explains what training actually does to a book (statistical weights, not a stored copy), the four-factor fair-use test every one of these cases turns on, and the shadow-library piracy allegations - LibGen and Books3 - common to the cases against Anthropic, Meta and OpenAI.
It covers Thomson Reuters v. Ross Intelligence, the first case to reach a final appellate ruling: Judge Stephanos Bibas's February 2025 summary judgment and the Third Circuit's September 2026 affirmance, which limited its reasoning to Ross's non-generative tool. It covers Kadrey v. Meta, where Judge Vince Chhabria granted Meta a narrow win on a thin record, warning in his own words that the decision 'does not mean that Meta's use of copyrighted materials to form its language models is legal.' And it covers Bartz v. Anthropic, where Judge William Alsup split his ruling in two - training on legally acquired books was fair use, training on pirated copies was not, writing that Anthropic offered no justification 'except for Anthropic's pocketbook and convenience' - a finding that led to a proposed $1.5 billion settlement, the largest copyright class-action settlement on record.
It explains The New York Times' case against OpenAI and Microsoft, including the Times' June 2026 amended complaint narrowing its claims and sharpening its case against Microsoft's own infrastructure. And it covers the consolidated Authors Guild multidistrict litigation before Judge Sidney H. Stein, which survived a motion to dismiss in October 2025 and reached cross-motions for summary judgment in September 2026.
The video closes by showing why these rulings do not line up into one rule: courts have been separating training, acquisition and output into three different legal questions, answering one or two at a time, case by case - which is exactly why there is still no single settled answer to who owns what an AI model learned from.
Educational documentary. Not financial or investment advice.
In these topics
Chapters
- A library nobody could see
- Numbers, not a photocopier
- The test every one of these cases has to pass
- The libraries that were never supposed to be libraries
- The first appeals court to answer
- A win for Meta, with a warning attached
- One ruling split in two, and the biggest settlement yet
- The Times, and the case that became about Microsoft
- Every other author's case lands in one courtroom
- Three separate questions, not one
- What is still undecided
- What AI companies can expect next
Sources and credits
Photo credits (Wikimedia Commons)
- James A. Byrne United States Courthouse, Philadelphia - home of the Third Circuit Court of Appeals: Carol M. Highsmith, Public domain - https://commons.wikimedia.org/wiki/File%3AExterior_view_of_James_A._Byrne_U.S._Courthouse_and_the_William_J._Green_Federal_Building%2C_Philadelphia%2C_Pennsylvania_LCCN2010718972.tif
Primary sources
- Judge William Alsup, U.S. District Court N.D. Cal., Bartz v. Anthropic PBC, order on fair use, 23 June 2025 - training on legally acquired books ruled fair use; pirated copies ruled not fair use.
- U.S. District Court N.D. Cal., Bartz v. Anthropic PBC, proposed class settlement agreed 5 September 2025, preliminary approval 25 September 2025 - $1.5 billion, roughly 500,000 pirated works, requires destruction of the pirated dataset, does not cover output claims.
- Judge Vince Chhabria, U.S. District Court N.D. Cal., Kadrey v. Meta Platforms, order granting partial summary judgment, 25 June 2025 - fair use for these 13 plaintiffs on this record.
- Judge Stephanos Bibas, U.S. District Court D. Del., Thomson Reuters Enterprise Centre GmbH v. Ross Intelligence Inc., summary judgment opinion, 11 February 2025 - 2,243 Westlaw headnotes, fair use defence rejected.
- U.S. Court of Appeals for the Third Circuit, Thomson Reuters v. Ross Intelligence, opinion affirming the district court, 29 September 2026; limited to non-generative AI.
- U.S. District Court S.D.N.Y., The New York Times Company v. Microsoft Corp. and OpenAI, original complaint 27 December 2023, amended complaint 25 June 2026 - dropped a contributory-infringement claim against OpenAI, sharpened claims against Microsoft's infrastructure, citing more than 285,000 CPU cores and 10,000 GPUs.
- Judge Sidney H. Stein, U.S. District Court S.D.N.Y., In re: OpenAI, Inc. Copyright Infringement Litigation, MDL No. 25-md-3143 - order denying motion to dismiss, October 2025; cross-motions for summary judgment filed 4 September 2026, covering 194 book titles.
Not regulated financial advice.