Google

Google Experiences Deja Vu As Second Monopoly Trial Begins In US 4

An anonymous reader quotes a report from The Guardian: After deflecting the US Department of Justice's attack on its illegal monopoly in online search, Google is facing another attempt to dismantle its internet empire in a trial focused on abusive tactics in digital advertising. The trial that opened Monday in an Alexandria, Virginia, federal court revolves around the harmful conduct that resulted in US district Judge Leonie Brinkema declaring parts of Google's digital advertising technology to be an illegal monopoly in April. The judge found that Google has been engaging in behavior that stifles competition to the detriment of online publishers that depend on the system for revenue.

Google and the justice department will spend the next two weeks in court presenting evidence in a "remedy" trial that will culminate in Brinkema issuing a ruling on how to restore fair market conditions. If the justice department gets its way, Brinkema will order Google to sell parts of its ad technology -- a proposal that the company's lawyers warned would "invite disruption and damage" to consumers and the internet's ecosystem. The justice department contends a breakup would be the most effective and quickest way to undercut a monopoly that has been stifling competition and innovation for years. [...]

The case, filed in 2023 under Joe Biden's administration, threatens the complex network that Google has spent the past 17 years building to power its dominant digital advertising business. Digital advertising sales account for most of the $305 billion in revenue that Google's services division generates for its corporate parent Alphabet. The company's sprawling network of display ads provide the lifeblood that keeps thousands of websites alive. Google believes it has already made enough changes to its "ad manager" system, including providing more options and pricing options, to resolve the problems Brinkema flagged in her monopoly ruling.
AI

Microsoft Is Reportedly Building An AI Marketplace To Pay Publishers For Content 9

Microsoft is preparing a Publisher Content Marketplace to pay publishers when their work is used in AI products like Copilot. Neowin reports: Microsoft is reportedly discussing with select US publishers a pilot program for its so-called Publisher Content Marketplace, a system that pays publishers for their content when it gets used by AI products, starting with its own Copilot assistant. The PCM will launch with a limited number of partners before Microsoft hopes to expand the program over time. The company pitched the idea to publishing executives at an invite-only Partner Summit in Monaco last week. Microsoft was allegedly courting them with the message: "You deserve to be paid on the quality of your IP." No concrete launch date for the pilot was shared.

As Axios notes, Microsoft is the first major company to try to build a proper AI marketplace for publishers. Other AI labs like OpenAI have mostly focused on securing one-off licensing deals instead of building a platform for ongoing transactions. Companies like Cloudflare are also working on a more technical, network-level solution to this problem.
United States

US Secret Service 'Dismantles Telecommunications Threat' (bbc.co.uk) 74

mrspoonsi writes: The US Secret Service says it has dismantled a network of more than 300 SIM servers and 100,000 SIM cards in the New York area that were capable of crippling telecom systems.

The devices were "concentrated within 35 miles of the global meeting of the UN General Assembly now under way in New York City" and an investigation has been launched, it adds in a press statement.

The Secret Service says the dangers posed included "disabling cell phone towers, enabling denial of services attacks, and facilitating anonymous, encrypted communication between potential threat actors and criminal enterprises."

Transportation

Uber CEO Says Robotaxis Could Displace Drivers in 10 To 15 Years and Create 'a Big, Big Societal Question' (businessinsider.com) 101

The rise of self-driving cars could eventually cost many ride-hailing drivers their jobs -- and that's a big problem, Uber CEO Dara Khosrowshahi said. From a report: Khosrowshahi spoke about the issue onstage this month at a summit hosted by the "All-In" podcast, which posted a video of the conversation on Wednesday. At the summit, Khosrowshahi was asked about concerns that gig workers, who have played a key role in Uber's development, will eventually lose their jobs as self-driving cars become more prevalent.

The Uber CEO said he expects human drivers to continue working alongside self-driving cars in Uber's network in the coming years. "For the next five to seven years, we're going to have more human drivers and delivery people, just because we're going so quickly," Khosrowshahi said. "But, I think, 10 to 15 years from now, this is going to be a real issue," he said about drivers losing their jobs.

AI

AI Tools Give Dangerous Powers to Cyberattackers, Security Researchers Warn (msn.com) 21

"On a recent assignment to test defenses, Dave Brauchler of the cybersecurity company NCC Group tricked a client's AI program-writing assistant into executing programs that forked over the company's databases and code repositories," reports the Washington Post.

"We have never been this foolish with security," Brauchler said... Demonstrations at last month's Black Hat security conference in Las Vegas included other attention-getting means of exploiting artificial intelligence. In one, an imagined attacker sent documents by email with hidden instructions aimed at ChatGPT or competitors. If a user asked for a summary or one was made automatically, the program would execute the instructions, even finding digital passwords and sending them out of the network. A similar attack on Google's Gemini didn't even need an attachment, just an email with hidden directives. The AI summary falsely told the target an account had been compromised and that they should call the attacker's number, mimicking successful phishing scams.

The threats become more concerning with the rise of agentic AI, which empowers browsers and other tools to conduct transactions and make other decisions without human oversight. Already, security company Guardio has tricked the agentic Comet browser addition from Perplexity into buying a watch from a fake online store and to follow instructions from a fake banking email...

Advanced AI programs also are beginning to be used to find previously undiscovered security flaws, the so-called zero-days that hackers highly prize and exploit to gain entry into software that is configured correctly and fully updated with security patches. Seven teams of hackers that developed autonomous "cyber reasoning systems" for a contest held last month by the Pentagon's Defense Advanced Research Projects Agency were able to find a total of 18 zero-days in 54 million lines of open source code. They worked to patch those vulnerabilities, but officials said hackers around the world are developing similar efforts to locate and exploit them. Some longtime security defenders are predicting a once-in-a-lifetime, worldwide mad dash to use the technology to find new flaws and exploit them, leaving back doors in place that they can return to at leisure.

The real nightmare scenario is when these worlds collide, and an attacker's AI finds a way in and then starts communicating with the victim's AI, working in partnership — "having the bad guy AI collaborate with the good guy AI," as SentinelOne's [threat researcher Alex] Delamotte put it. "Next year," said Adam Meyers, senior vice president at CrowdStrike, "AI will be the new insider threat."

In August more than 1,000 people lost data to a modified Nx program (downloaded hundreds of thousands of times) that used pre-installed coding tools from Google/Anthropic/etc. According to the article, the malware "instructed those programs to root out" sensitive data (including passwords or cryptocurrency wallets) and send it back to the attacker. "The more autonomy and access to production environments such tools have, the more havoc they can wreak," the article points out — including this quote from SentinelOne threat researcher Alex Delamotte.

"It's kind of unfair that we're having AI pushed on us in every single product when it introduces new risks."
Businesses

Sold on Walmart, Sent by Amazon: The Weird New World of Online Retail (geekwire.com) 45

Amazon's logistics network will now fulfill orders placed on Walmart.com, the company announced at its Accelerate seller conference, creating a surreal arrangement where the e-commerce giant directly supports its biggest retail rival's online operations. Third-party sellers can now use Amazon's Multichannel Fulfillment service to automatically process Walmart orders through direct integration. The packages arrive in unbranded boxes since Walmart prohibits Amazon-branded deliveries to its customers.

Amazon VP Dharmesh Mehta told GeekWire the system automatically routes any Walmart order through Amazon's fulfillment network. The service expansion includes upcoming Shein integration and existing support for eBay, Etsy, and Temu. Amazon's third-party seller services generated $156 billion in 2024 revenue. The company now competes directly against ShipBob, FedEx, UPS, and ironically Walmart's own fulfillment services while positioning itself as an end-to-end logistics provider regardless of where the sale originates.
XBox (Games)

Microsoft Hikes US Xbox Prices Citing Economic Environment (xbox.com) 45

Microsoft will increase Xbox Series X and Series S console prices in the United States on October 3. The Series X rises to $649.99 from $599.99 and the 512GB Series S increases to $399.99 from $379.99. The 1TB Series S moves to $449.99 from $429.99. The Series X Digital Edition reaches $599.99 from $549.99 and the 2TB Galaxy Black Special Edition climbs to $799.99 from $729.99. Microsoft cited macroeconomic changes for the increases. Console prices outside the US and controller and headset prices domestically remain unchanged. The company raised console prices globally in May.
AI

SoftBank Vision Fund To Lay Off 20% of Employees in Shift To Bold AI Bets (reuters.com) 21

An anonymous reader shares a report: SoftBank Group will lay off nearly 20% of its Vision Fund team globally as it shifts resources to founder Masayoshi Son's large-scale AI bets in the United States, according to a memo seen by Reuters and a source familiar with the plan. The cuts mark the third round of layoffs at the Japanese investment conglomerate's flagship fund since 2022. Vision Fund currently has over 300 employees globally. Unlike previous rounds, when the group was saddled with major losses, the latest reductions come after the fund last month reported its strongest quarterly performance since June 2021, driven by gains in public holdings such as Nvidia and South Korean e-commerce firm Coupang. The move signals a pivot away from a broad portfolio of startup investments. While the fund will continue to make new bets, remaining staff will dedicate more resources to Son's ambitious AI initiatives, such as the proposed $500 billion Stargate project -- an initiative to build a vast network of U.S. data centers in partnership with OpenAI, the source added.
Businesses

Verizon To Offer $20 Broadband In California To Obtain Merger Approval (arstechnica.com) 17

An anonymous reader quotes a report from Ars Technica: Verizon agreed to offer $20-per-month broadband service to people with low incomes in California in exchange for a merger approval. In a bid to complete its $9.6 billion purchase of Frontier Communications, Verizon committed to offering $20 fiber-to-the-home service with symmetrical speeds of 300Mbps. Verizon also committed to offering a $20 fixed wireless service with download speeds of 100Mbps and upload speeds of 20Mbps. Verizon would be required to offer the plans for at least 10 years, according to a joint motion (PDF) to approve the settlement agreement. After three years, Verizon would need to "make commercially reasonable efforts" to increase the speeds "while retaining the $20 price point."

The joint motion filed by Verizon and the California Public Advocates Office seeks approval from the California Public Utilities Commission (CPUC). The $20 plans would be available to people who meet income eligibility guidelines and can be paired with Lifeline discounts. "My team required those options to be California Lifeline eligible, which effectively makes it free for low-income Californians throughout the state," wrote Ernesto Falcon, a program manager at the Public Advocates Office. California's Lifeline program provides $19 discounts. Falcon also wrote that the settlement would expand fiber deployment beyond what Frontier would have offered on its own. "If the merger is approved, Verizon will deliver 75,000 new fiber-to-the-home connections in California beyond Frontier's entire buildout plan with a priority for low-income households," he wrote. The deal also requires 250 new cell sites for Verizon's 5G network.

Security

Thieves Busted After Stealing a Cellphone from a Security Expert's Wife (elpais.com) 41

They stole a woman's phone in Barcelona. Unfortunately, her husband was security consultant/penetration tester Martin Vigo, reports Spain's newspaper El Pais.

"His weeks-long investigation coincided with a massive two-year police operation between 2022 and 2024 in six countries where 17 people were arrested: Spain, Argentina, Colombia, Chile, Ecuador, and Peru...." In Vigo's case, the phone was locked and the "Find my iPhone" feature was activated... Once stolen, the phones are likely wrapped in aluminum foil to prevent the GPS from tracking their movements. "Then they go to a safe house where they are gathered together and shipped on pallets outside of Spain, to Morocco or China." This international step is vital to prevent the phone from being blocked if the thieves try to use it again. Carriers in several European countries share lists of the IMEIs (unique numbers for each device) of stolen devices so they can't be used. But Morocco, for example, doesn't share these lists. There, the phone can be reconnected...

With hundreds or thousands of stored phones, another path begins: "They try to get the PIN," says Vigo. Why the PIN? Because with the PIN, you can change the Apple password and access the device's content. The gang had created a system to send thousands of text messages like the one Vigo received. To know who to target with the bait message, the police say, "the organization performed social profiling of the victims, since, in many cases, in addition to the phone, they also had the victim's personal belongings, such as their ID." This is how they obtained the phone numbers to send the malicious SMS...

Each victim received a unique link, and the server knew which victim clicked it... With the first click, the attackers would redirect the user to a website they believed was credible, such as Apple's real iCloud site... [T]he next day you receive another text message, and you click on it, more confidently. However, that link no longer redirects you to the real Apple website, but to a flawless copy created by the criminals: that's where they ask for your PIN, and without thinking, full of hope, you enter it... "The PIN is more powerful than your fingerprint or face. With it, you can delete the victim's biometric information and add your own to access banking apps that are validated this way," says Vigo. Apple Wallet asks you to re-authenticate, and then everything is accessible...

In the press release on the case, the police explained that the gang allegedly used a total of 5,300 fake websites and illegally unlocked around 1.3 million high-end devices, about 30,000 of them in Spain.

Vigo tells El Pais that if the PIN doesn't unlock the device, the criminal gang then sends it to China to be "dismantled and then sent back to Europe for resale. The devices are increasingly valuable because they have more advanced chips, better cameras, and more expensive materials."

To render the phone untraceable in China, "they change certain components and the IMEI. It requires a certain level of sophistication: opening the phone, changing the chip..."
Encryption

Swiss Government Looks To Undercut Privacy Tech, Stoking Fears of Mass Surveillance (therecord.media) 31

The Swiss government could soon require service providers with more than 5,000 users to collect government-issued identification, retain subscriber data for six months and, in many cases, disable encryption. From a report: The proposal, which is not subject to parliamentary approval, has alarmed privacy and digital-freedoms advocates worldwide because of how it will destroy anonymity online, including for people located outside of Switzerland. A large number of virtual private network (VPN) companies and other privacy-preserving firms are headquartered in the country because it has historically had liberal digital privacy laws alongside its famously discreet banking ecosystem.

Proton, which offers secure and end-to-end encrypted email along with an ultra-private VPN and cloud storage, announced on July 23 that it is moving most of its physical infrastructure out of Switzerland due to the proposed law. The company is investing more than $117 million in the European Union, the announcement said, and plans to help develop a "sovereign EuroStack for the future of our home continent." Switzerland is not a member of the EU. Proton said the decision was prompted by the Swiss government's attempt to "introduce mass surveillance."

The Courts

Court Rejects Verizon Claim That Selling Location Data Without Consent Is Legal (arstechnica.com) 12

An anonymous reader quotes a report from Ars Technica: Verizon lost an attempt to overturn a $46.9 million fine for selling customer location data without its users' consent. The US Court of Appeals for the 2nd Circuit rejected Verizon's challenge in a ruling (PDF) issued today. The Federal Communications Commission fined the three major carriers last year for violations revealed in 2018. The companies sued the FCC in three different courts, with varying results.

AT&T beat the FCC in the reliably conservative US Court of Appeals for the 5th Circuit, while T-Mobile lost in the District of Columbia Circuit. Although FCC Chairman Brendan Carr voted against (PDF) the fine last year, when the commission had a Democratic majority, his FCC urged the courts to uphold the Biden-era decisions. A ruling against the FCC could gut the agency's ability to issue financial penalties. The different rulings from different circuits raise the odds of the cases being taken up by the Supreme Court.

Today's 2nd Circuit ruling against Verizon was issued unanimously by a panel of three judges, and it comes to the same legal conclusions as the DC Circuit did in the T-Mobile case. The court did not accept the carrier's argument that the fine violated its Seventh Amendment right to a jury trial and that the location data wasn't protected under the law used by the FCC to issue the penalties. "We disagree [with Verizon]," the 2nd Circuit ruling said. "The customer data at issue plainly qualifies as customer proprietary network information, triggering the Communication Act's privacy protections. And the forfeiture order both soundly imposed liability and remained within the strictures of the penalty cap. Nothing about the Commission's proceedings, moreover, transgressed the Seventh Amendment's jury trial guarantee. Indeed, Verizon had, and chose to forgo, the opportunity for a jury trial in federal court. Thus, we DENY Verizon's petition."
Until 2019, the ruling said Verizon operated a location-based services program that sold customer location data through intermediaries like LocationSmart and Zumigo, who then resold it to dozens of third-party entities. Instead of directly managing consent and notifications, Verizon "largely delegated those functions via contract" to its partners, a system that came under scrutiny after a 2018 New York Times report exposed security breaches.

One major misuse involved Securus Technologies, which "was misusing the program to enable law enforcement officers to access location data without customers' knowledge or consent, so long as the officers uploaded a warrant or some other legal authorization," the ruling said. Verizon argued that Section 222 of the Communications Act only covered call-location data, but the court ruled that device-location data also qualifies as protected customer information.
The Almighty Buck

ATM Fees Are at a Record High, a New Survey Finds (cbsnews.com) 112

An anonymous reader shares a report: Getting cash from an ATM is growing increasingly expensive as fees reach record highs. Americans are now paying an average of $4.86 for out-of-network ATM withdrawals, up 1.9% from $4.77 last year, according to a new survey from Bankrate.com. That's the highest on record, according to the personal finance website, which starting tracking ATM fees 27 years ago.

"ATM fees are just one of those avenues that the bank can very freely continue to charge fees," Bankrate financial analyst Stephen Kates told CBS MoneyWatch. Those costs include charges from both ATM owners and banks. According to the survey, the average fee from cash machine providers is $3.22. Banks charge $1.64 on average, up 3.8% from 2024 -- the highest since 2018. As a result, Americans in certain metro areas could see average combined fees of more than $5.

China

Reuters Withdraws Xi, Putin Longevity Video After China State TV Pulls Legal Permission To Use It (reuters.com) 93

An anonymous reader writes: Reuters News on Friday withdrew a four-minute video containing an exchange between Russian President Vladimir Putin and Chinese President Xi Jinping discussing the possibility that humans can live to 150 years old, after China state TV demanded its removal and withdrew the legal permission to use it.

The footage, which included the open mic exchange from the military parade in Beijing marking the 80th anniversary of the end of World War Two, was licensed by the China state television network, China Central Television (CCTV). The clips were edited by Reuters into a four-minute video and distributed to more than 1,000 global media clients including major international news broadcasters and TV stations around the world. Other news agency licensees of CCTV also distributed edits of the footage.

Reuters removed the video from its website and issued a "kill" order to its clients on Friday after receiving a written request from CCTV's lawyer. The letter said the news agency exceeded usage terms of its agreement. The letter further criticized Reuters "editorial treatment applied to this material," but did not specify details.

United States

US Tech Companies Enabled the Surveillance and Detention of Hundreds of Thousands in China (apnews.com) 29

An Associated Press investigation based on tens of thousands of leaked documents revealed Tuesday that American technology companies designed and built core components of China's surveillance apparatus over the past 25 years, selling billions of dollars in equipment to Chinese police and government agencies despite warnings about human rights abuses.

IBM partnered with Chinese defense contractor Huadi in 2009 to develop predictive policing systems for the "Golden Shield" project, AP reports, citing classified government blueprints. The technology enabled mass detentions in Xinjiang, where administrators assigned 100-point risk scores to Uyghurs with deductions for growing beards or being aged 15-55. Dell promoted a laptop with "all-race recognition" capabilities on its WeChat account in 2019. Thermo Fisher Scientific marketed DNA kits as "designed" for ethnic minorities including Uyghurs and Tibetans until August 2024.

Oracle, Microsoft, HP, Cisco, Intel, NVIDIA, and VMware sold geographic mapping software, facial recognition systems, and cloud infrastructure to Chinese police through the 2010s. The surveillance network tracks "key persons" whose movements are restricted and monitored, with one estimate suggesting 55,000 to 110,000 people were placed under residential surveillance in the past decade. China now has more surveillance cameras than the rest of the world combined.
Power

'A Very Finnish Thing': Huge Sand Battery Starts Storing Wind Energy In Soapstone (cleantechnica.com) 82

This week Finland inaugurated the world's largest sand battery, according to the Independent, "capable of storing vast amounts of energy generated from renewable sources like solar and wind."

The battery "will enable residents to eliminate oil from their district heating network, thereby cutting emissions by nearly 70%," notes EuroNews: Euronews Green previously spoke to the young Finnish founders, Tommi Eronen and Markku Ylönen, who engineered the technology... Lithium batteries work well for specific applications, explains Markku, but aside from their environmental issues and expense, they cannot take in a huge amount of energy. Grains of sand, it turns out, are surprisingly roomy when it comes to energy storage... The sand can store heat at around 500C for several days to even months, providing a valuable store of cheaper energy during the winter... The battery's thermal energy storage capacity equates to almost one month's heat demand in summer and a one-week demand in winter in Pornainen, Polar Night Energy says...

Polar Night Energy has big ambitions to take its technology worldwide, and is currently in "active discussions" with both Finnish and international partners.

This project (in the Finnish city of Pornainen) "is really important for us because now we can show that this really works," a spokesperson for Polar Night told Clean Technica: The profitability of the sand battery is based on charging it according to electricity prices and Fingrid's reserve markets. Its large storage capacity enables balancing the electricity grid and optimizing consumption over several days or even weeks... "The Pornainen plant can be adjusted quickly and precisely," explained Jukka-Pekka Salmenkaita, vice president of AI and special projects at Elisa Industriq, "and it also has a remarkably long energy buffer, making it well suited for reserve market optimization. Our AI solution automatically identifies the best times to charge and discharge the Sand Battery and allocates flexibility capacity to the reserve products that need it most. Continuous optimization makes it a genuinely profitable investment."
Thanks to Slashdot reader AleRunner for sharing the news.
Science

Europe's Largest Paper Mill? 1,500 Research Articles Linked To Ukrainian Network (nature.com) 16

An investigation has identified more than 1,500 research articles produced by a network of Ukrainian companies that could be one of Europe's largest paper mills -- businesses that produce fake or low-quality research papers and sell authorships. Nature: Anna Abalkina, a research-integrity sleuth and social scientist at the Free University of Berlin, discovered the paper mill in 2022 after spotting papers with author e-mail addresses that had domains that did not match the geographical locations of academic affiliations. She dubbed the paper mill 'Tanu.pro' after the most frequently used of these unusual domains.

Abalkina later teamed up with Svetlana Kleiner, a research integrity officer at the publisher Springer Nature, who is based in Leiden, the Netherlands. Together, they traced more than 60 suspicious e-mail domains that were linked to Tanu.pro and appeared among the author e-mails of 1,517 papers published between 2017 and 2025, listing more than 4,500 researchers affiliated with around 460 universities across 46 countries. The majority of authors were in Ukraine, Kazakhstan and Russia.

Earth

Rising River Temperatures Threaten Paris's Water-Based Building Cooling Network (wired.com) 12

Networks of pipes and heat exchangers can transfer excess heat from buildings into nearby bodies of water -- but as the world warms, the cooling potential of some water courses is now diminishing, Wired reports. Paris's district cooling network, which pipes Seine river water to cool 800 buildings including the Louvre Museum, faces diminishing returns as climate change warms water temperatures. The system achieves coefficients of performance between 4 and 15 -- significantly higher than conventional air conditioning -- by transferring building heat through heat exchangers to the river. The Seine briefly exceeded 27C this summer, approaching the 30C regulatory limit for returned water.

The network currently spans 100 kilometers of pipes and will expand to 245 kilometers by 2042 to serve 3,000 buildings. Similar installations operate in Toronto using lake water from 83-meter depths and at Cornell University drawing 4C water from Lake Cayuga at 76 meters. Rotterdam and other cities are developing comparable systems as cooling demand rises.
AI

Geoffrey Hinton: 'AI Will Make a Few People Much Richer and Most People Poorer' (ft.com) 102

Nobel laureate Geoffrey Hinton has warned that AI will concentrate wealth among a small elite while impoverishing most workers. The computer scientist, who pioneered neural network research in the 1980s, told Financial Times that rich people will use AI to replace workers, creating massive unemployment and profit increases.

Hinton, who left Google in 2023 after selling his AI startup for $44 million a decade earlier, dismissed universal basic income as insufficient to address human dignity concerns from job losses. The 77-year-old physicist predicts superintelligent AI will arrive within five to twenty years. He blamed capitalism rather than AI technology itself for the coming economic disruption, stating the system ensures AI will primarily benefit the wealthy rather than solve grand problems like hunger or poverty.
The Courts

Warner Bros. Discovery Sues Midjourney For Copyright Infringement 83

Warner Bros. Discovery has filed a major copyright lawsuit against Midjourney, accusing the AI image generator of exploiting its movies and TV shows to train models and generate near-identical reproductions of iconic characters like Batman, Bugs Bunny, and Rick and Morty. From The Hollywood Reporter: The company "brazenly dispenses Warner Bros. Discovery's intellectual property" by letting subscribers produce images and videos of iconic copyrighted characters, alleges the complaint, filed on Thursday in California federal court. "The heart of what we do is develop stories and characters to entertain our audiences, bringing to life the vision and passion of our creative partners," said a Warner Bros. Discovery spokesperson in a statement. "Midjourney is blatantly and purposefully infringing copyrighted works, and we filed this suit to protect our content, our partners, and our investments."

For years, AI companies have been training their technology on data scraped across the internet without compensating creators. It's led to lawsuits from authors, record labels, news organizations, artists and studios, which contend that some AI tools erode demand for their content. Warner Bros. Discovery joins Disney and Universal, which earlier this year teamed up to sue Midjourney. By their thinking, the AI company is a free-rider plagiarizing their movies and TV shows. In the lawsuit, Warner Bros. Discovery points to Midjourney generating images of iconic copyrighted characters. At the forefront are heroes who're at the center of DC Studios' movies and TV shows, like Superman, Wonder Woman and The Joker; others are Looney Tunes, Tom and Jerry and Scooby-Doo characters who've become ubiquitous household names; more are Cartoon Network characters, including those from Rick and Morty, who've emerged as something of cultural touchstones in recent years. [...]

The lawsuit argues Midjourney's ability to return copyrighted characters is a "clear draw for subscribers," diverting consumers away from purchasing Warner Bros. Discovery-approved posters, wall art and prints, among other products that must now compete against the service. [...] Warner Bros. Discovery seeks Midjourney's profits attributable to the alleged infringement or, alternatively, $150,000 per infringed work, which could leave the AI company on the hook for massive damages. The thrust of the studios' lawsuits will likely be decided by one question: Are AI companies covered by fair use, the legal doctrine in intellectual property law that allows creators to build upon copyrighted works without a license?
The lawsuit can be found here.

Slashdot Top Deals