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Why Indian billionaires Mukesh Ambani, Gautam Adani are dragging OpenAI to court?

by admin January 27, 2025
January 27, 2025
Why Indian billionaires Mukesh Ambani, Gautam Adani are dragging OpenAI to court?

Indian media giants owned by Mukesh Ambani and Gautam Adani are uniting against OpenAI, as per a Reuters report.

This lawsuit, involving major news players, challenges OpenAI’s use of scraped content from Indian news websites.

The case has profound implications, not only for media houses but also for the rapidly expanding generative AI industry, which continues to raise questions around data ethics, copyright compliance, and fair use.

The Indian legal challenge follows global efforts to hold AI firms accountable, including lawsuits in the US by the New York Times and other publishers.

In India, the stakes are particularly high as the media sector grapples with the disproportionate influence of tech companies on content distribution and advertising revenue.

OpenAI faces mounting pressure in Indian courts

The lawsuit, led by Ambani’s Network18, Adani’s NDTV, and other members of the Digital News Publishers Association (DNPA), accuses OpenAI of “wilfully scraping and adapting copyrighted content” without consent.

Indian publishers claim this practice undermines the financial viability of their businesses and allows OpenAI to profit from content creators’ work.

The case, filed in New Delhi, highlights OpenAI’s partnerships with global publishers like Time magazine and Le Monde, contrasting it with its lack of similar agreements in India.

The legal filing argues that OpenAI’s practices weaken India’s media landscape by diverting advertising revenue and diminishing the role of traditional journalism.

For a nation with over 1.4 billion people and a flourishing media industry, this conflict reflects broader concerns about the unchecked power of tech giants in shaping public discourse and monopolising economic benefits.

The lawsuit builds on earlier cases, including ANI’s high-profile legal action against OpenAI.

The outcome of this case could set a precedent for how copyright disputes involving AI are handled in India, influencing similar battles globally.

Implications for AI, copyright, and Indian media

OpenAI, valued at over $30 billion and backed by Microsoft, has disrupted industries with its generative AI tools.

Since the launch of ChatGPT in November 2022, the company has positioned itself as a leader in AI innovation, raising $6.6 billion last year alone. However, its expansion into markets like India has been met with resistance.

Indian publishers argue that OpenAI’s failure to negotiate licensing agreements locally mirrors a broader pattern of neglect towards developing markets.

The lawsuit claims this “defiance of the law” not only undermines the rights of content creators but also threatens the democratic role of the press.

For Ambani and Adani, this legal battle also reflects their broader ambitions in media and technology.

Both tycoons have significantly invested in the media sector, with NDTV and Network18 playing critical roles in India’s news ecosystem.

OpenAI has defended its practices, asserting that its systems rely on publicly available data and comply with international copyright laws.

However, Indian publishers argue that these claims fail to address the unique challenges faced by local media outlets.

A test case for AI accountability

The Indian lawsuit comes at a time when AI regulation is gaining momentum globally. While OpenAI has entered into licensing agreements with international media organisations, the absence of similar deals in India highlights the uneven power dynamics between tech companies and local industries.

If Indian publishers succeed in their legal challenge, it could encourage other nations to take similar actions, reshaping the global AI landscape.

Conversely, a loss could embolden AI firms to continue leveraging unlicensed content, raising questions about the future of copyright protection in the digital age.

The post Why Indian billionaires Mukesh Ambani, Gautam Adani are dragging OpenAI to court? appeared first on Invezz

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