AI startup Perplexity says Dow Jones badgered its bot in copyright infringement court fight (www.businessinsider.com)

AI startup Perplexity, valued at $20 billion, is escalating its legal dispute with Dow Jones over allegations of copyright infringement. Dow Jones claims that Perplexity's search engine, which summarizes content from various sources, replicates its articles without permission, affecting its ad and subscription revenue. In its recent court filing, Perplexity argues that Dow Jones selectively used examples from its search results to bolster its case and has failed to provide crucial search histories that could reveal user attempts to induce copyright violations. The lawsuit highlights a significant conflict between AI developers and traditional content publishers regarding the legality of using indexed material for AI responses. This legal battle is vital for the AI/ML community as it raises critical questions about copyright limitations and the ownership of digital content. If the court rules against Perplexity, it could set a precedent, impacting how AI search engines operate and consume content from paywalled sites. Perplexity envisions its platform as a novel gateway to the internet, akin to an alternative to Google, but must now navigate the challenge of monetization while proving it can generate sustainable revenue without relying on the very content that underpins its service. The outcome could reshape industry standards on content use and inform future AI development practices.