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In the early days of the current AI boom, The New York Times sued OpenAI and Microsoft for copyright infringement. It was a seismic move, but perhaps the most notable thing about it is what came after. In the subsequent months, publisher after publisher signed licensing deals with OpenAI, making their content available to ChatGPT. There were others who chose litigation, certainly, but most major media companies opted to take some money rather than spend it on lawyers. That changed last week when Ziff Davis filed its own copyright lawsuit against OpenAI. Ziff owns several major online properties, including Mashable, CNET, IGN, and Lifehacker, and garners a massive amount of web traffic. According to the filing, its properties earned an average of 292 million monthly page views over the past year. Strange, then, that OpenAI didn’t bother to negotiate with Ziff at all. The filing mentions that, after asking OpenAI to stop scraping its content without authorization, Ziff’s requests to negotiate were “rebuffed.” A news story about the lawsuit in PCMag (another Ziff property) also said OpenAI wouldn’t talk, though it’s unclear whether it was just repeating what the filing described. {"blockType":"creator-network-promo","data":{"mediaUrl":"https:\/\/images.fastcompany.com\/image\/upload\/f_webp,q_auto,c_fit\/wp-cms-2\/2025\/03\/mediacopilot-logo-ss.png","headline":"Media CoPilot","description":"Want more about how AI is changing media? Never miss an update from Pete Pachal by signing up for Media CoPilot. To learn more visit mediacopilot.substack.com","substackDomain":"https:\/\/mediacopilot.substack.com\/","colorTheme":"blue","redirectUrl":""}} While The Times and Ziff aren’t alone in their legal efforts against OpenAI, it’s informative to compare the two complaints, filed almost 16 months apart, to get an understanding of how the stakes of the AI-media cold war have evolved. AI technology has progressed considerably and we now have a much greater understanding of AI substitution riskthe fancy name for AI summarization of publisher content. Ziff’s lawsuit gives us a better idea of how the AI sausage is made these days and can tell us just how much other AI players should be sweating. For starters, Ziff points to what has become table stakes in most of these lawsuits: the act of scraping content, storing copies of that content in a database, and then serving up either a “derivative work” (summaries) or the content itself as inherently violative of copyright. OpenAI has maintained, however clumsily at times, that its harvesting of content on the web to train models falls under fair use, a key exception to copyright law that has supported some instances of mass digital copying in the past. Thats the central conflict to all these cases, but Ziffs action goes in some novel directions that point to how things have changed since ChatGPT first arrived: 1. AI, meet DMCA Ziff runs a few more yards with the copyright ball, claiming that OpenAI deliberately stripped copyright management information (CMI) from Ziff content. This is a bit of a technicalityessentially it means ChatGPT answers often don’t include bylines, the name of the publication, and other metadata that would identify the source. However, stripping out CMI from content and then distributing it under your own banner is a violation of the Digital Millennium Copyright Act (DMCA), giving the filing more teeth. 2. It’s a RAG world now This is arguably the most important change between the two lawsuits and reflective of how the way we use AI to access information has changed. When The Times filed suit, ChatGPT wasn’t a proper search engine, and the public was only just beginning to understand retrieval-augmented generation, or RAGbroadly, how AI systems can go beyond their training data. RAG is an essential element of any AI-based search engine today, and it’s also massively increased the risk of AI substitution to publishers since a chatbot that can summarize current news is much more useful than one that only has access to archives that cut off after a certain date (remember that?). 3. Watering down the brands Ziff frames the hallucination problem in a novel way, calling it “trademark dilution.” Media brands like Mashable and PCMag (both of which I used to work at) have built up their reputations over years or decades, the complaint makes the case that every time ChatGPT attributes a falsehood to one of them or wholesale imagines a fake review, it chips away at them. It’s a subtle point, but a compelling one that points to a future where valuable brands slowly become generic labels floating in the AI ether. 4. Paywalls are the first line of defense Ziff says in the filing that its properties are particularly vulnerable to AI substitution because so little of its content is behind paywalls. Ziff’s business model is based primarily on advertising and commerce (mostly from readers clicking on affiliate links in articles), both of which depend on actual humans visiting websites and taking actions. If an AI summary negates that act, and there’s no licensing or subscription revenue to make up for it, that’s a huge hit to the business. 5. Changing robots.txt isn’t enough Every website has a file that tells web scrapers what they can do with the content on that site. This “robots.txt” file allows sites to, say, let Google crawl their site but block AI training bots. Indeed, many sites do exactly that, but according to Ziff, it makes no difference. Despite explicitly blocking OpenAI’s GPTBot, Ziff still logged a spike in the bot’s activity on some of its sites. It’s generally assumed companies like OpenAI use third-party crawlers to scrape sites they’re not supposed to, but Ziff’s lawsuit accuses OpenAI of openly flouting the rules it claims to respect. 6. Regurgitation is still an issue The original Times complaint spends many pages on the issue of “regurgitation”when an AI system doesn’t just summarize a piece of content but instead repeats it, word for word. Generally this was thought to be a mostly solved issue, but Ziff’s filing claims it still happens, and that exact copies of articles are a relatively easy thing for ChatGPT users to call up. Apparently asking what the original text “might look like with three spaces after every period” is a method some have usedto fool the chatbot into serving up exact copies of an article. (For the record, it didn’t work for me.) The battle continues Just when it was looking like licensing deals would be the new normal, Ziff Davis’s filing shows the fight between AI and news is far from over. How it plays out could end up being even more existential for a company like Ziff. However the court rules, the case confronts a more fundamental question: Can strong media brands that rely on commerce and free access coexist with AI systems that learnand sometimes mislearnfrom everything they touch? {"blockType":"creator-network-promo","data":{"mediaUrl":"https:\/\/images.fastcompany.com\/image\/upload\/f_webp,q_auto,c_fit\/wp-cms-2\/2025\/03\/mediacopilot-logo-ss.png","headline":"Media CoPilot","description":"Want more about how AI is changing media? Never miss an update from Pete Pachal by signing up for Media CoPilot. To learn more visit mediacopilot.substack.com","substackDomain":"https:\/\/mediacopilot.substack.com\/","colorTheme":"blue","redirectUrl":""}}
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E-Commerce
Financial markets are volatile. Consumer confidence is at its lowest level in five years. Economists say recession risks are rising.It all adds up to financial uncertainty for a lot of Americans. Roughly half of U.S. adults say that President Trump’s trade policies will increase prices “a lot,” according to a recent poll by The Associated Press-NORC Center of Public Affairs Research. And about half of Americans are “extremely” or “very” concerned about the possibility of the U.S. economy going into a recession in the next few months.Matt Watson, CEO of Origin, a financial planning app, says it’s a period of uncertainty for everyone, including experts.“No one has a crystal ball. No one, even the people that do this professionally and have done it very successfully for many years, know what’s going to happen,” he said.If you’re worried about how economic uncertainty might affect you, here are some expert recommendations: Take stock of your finances The first step to preparing for uncertain financial times is knowing your starting point, Watson said. Look at your budget or your debit card expenses so you can understand how much you spend every month.“Take stock of where you are across a number of different categories,” Watson said.Looking at the state of your savings and investments can also provide you with an idea of your overall financial health. Find where you can cut back The more nonessential expenses you can pause, the more you can save for an emergency.“Your choice is really to cut now or cut later, so it’s easier to cut now and have a cushion,” Watson said.If you’re having difficulty finding where to cut back, Jim Weil, managing partner at Private Vista, a financial planning firm, recommends that you divide your expenses into three buckets: needs, wants and wishes. Wishes are larger expenses that can be postponed, such as a vacation to Europe.For the time being, cut back expenses from the wishes section until you feel like your finances are in a good place. Take care of your mental health Between news about tariffs and job losses, you might feel your anxiety rising. So, it’s important that you protect your mental health while also caring about your finances, said Courtney Alev, consumer advocate at Credit Karma. Sometimes, reading too much news that can affect your finances can become overbearing and create more stress than you need.“It’s good practice to stay informed but you don’t want to let the news cycle consume you,” Alev said.If you find yourself feeling high levels of stress or anxiety when it comes to your finances, it’s best to contact a professional who can assist you, such as a financial therapist.If looking for regular mental health services, most health insurance covers some type of mental health assistance. If you don’t have health insurance, you can look for sliding-scale therapists around the country, including through FindTreatment.gov and the Anxiety and Depression Association of America directory. Focus on what you can control Rather than worrying too much on the economics of the entire country, Alev recommends that you focus on the aspects of your personal life that you can control in order to feel more confident in case there is a recession.“Identify any changes that you might need to make to have more of a safety net in place that could give you confidence,” Alev said.Things you can control include budgeting, creating an emergency fund and cutting unnecessary expenses. Create an emergency fund Whether you are worried about your job security or the high prices of goods, it’s best that you sit down and reassess your budget to create an emergency fund. An emergency fund can feel unattainable if finances are already difficult, but having even a small amount of cash saved can make the difference, Alev said.Ideally, your emergency fund should amount to three to six months of expenses.Weil recommends you start thinking about any special commitments that you might have in the next year or two, such as college tuition or moving. If you are planning for a large financial commitment in the near future, Weil recommends that you plan to build a larger emergency fund. Do monthly finance check-ins Alev recommends regularly adjusting your budget to keep your financial goals on track. Monthly budget check-ins can help identify when you are overspending or if your needs change. “A budget is only as good as it is to help you actually make decisions, so don’t be afraid to update and adapt your budget as the months go by,” Alev said. Choose which type of debt to tackle first Many Americans struggle with debt, whether it’s credit card debt or student loan debt, which limits their ability to save. But, if you want to create an emergency fund while also tackling your debt, it will take some prioritization.“I would think about different kinds of debt differently,” Weil said, adding that you can place debt in three buckets: short-, medium- and long-term debt.Weil recommends that you prioritize paying off high-interest debt such as your credit card. By making extra payments or paying over the minimum payment, you will be able to pay it off quicker. Student loan debt and long-term debt such as a mortgage can be tackled with more modest payments while you focus on creating an emergency fund. If you have credit card debt and you can’t make too much progress in paying it down, Alev recommends you try to eliminate or reduce the amount of credit you use. Don’t panic about your investments While the stock market has had some bad days, it’s best that you are not reactive to the market. If you have investments, especially in retirement vehicles such as your 401(k), it’s best not to make rushed decisions, Alev said.“You really want to try not to panic. It can be unnerving but most likely, you should have time to make that up,” she added. If you’re closer to retirement, Alev recommends that you look into more conservative investments. The Associated Press receives support from Charles Schwab Foundation for educational and explanatory reporting to improve financial literacy. The independent foundation is separate from Charles Schwab and Co. Inc. The AP is solely responsible for its journalism. Adriana Morga, Associated Press
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E-Commerce
Microsoft’s cloud computing and artificial intelligence business helped deliver $70.1 billion in sales and boosted profits by 18% for the January-March quarter, a dose of relief for investors during a turbulent time for the tech sector and U.S. economy.The company reported quarterly net income of $25.8 billion, or $3.46 per share, beating Wall Street expectations for earnings of $3.22 a share.The Redmond, Washington-based software maker posted revenue of $70.1 billion in the period, its third fiscal quarter, up 13% from the same period a year ago and also beating Wall Street expectations. Analysts polled by FactSet expected Microsoft to post revenue of $68.44 billion for the quarter.Microsoft CEO Satya Nadella credited cloud growth for its strong quarter. The company’s cloud unit posted revenue of $26.8 billion, compared with expectations of $26.17 billion.“Cloud and AI are the essential inputs for every business to expand output, reduce costs, and accelerate growth,” Nadella said in a statement.The company also saw a 6% increase in revenue in its personal computing unit, which includes its laptop business and Xbox services.Nadella noted on a call with investors that demand for cloud and artificial intelligence remained strong. He said Microsoft is constantly tweaking its investments based on efficiency improvements in computing systems and what kind of services customers want.“We just want to make sure we are accounting for the latest and greatest information,” he said.Microsoft is among a group of the tech industry’s bellwether companies that have been through a period of uncertainty and turmoil since President Donald Trump returned to the White House, with a see-sawing of stocks that has eviscerated trillions of dollars in shareholder wealth amid an onslaught of tariffs and other actions.Microsoft’s stock price has dropped nearly 8% since Trump’s inauguration in January, to about $395 at the close of markets Wednesday. But investors appeared pleased moments later after Microsoft released its earnings report, sending stocks up more than 6% in after-hours trading.Revenue from Microsoft’s cloud computing business segment grew 21%, to $26.8 billion, also beating Wall Street projections.The company felt more tariff uncertainty in its personal computing business, which is centered around its Windows operating system and the fees it collects from computer makers that put it on the hardware they sell. Revenue from that business was $13.4 billion for the quarter, up 6% from the first three months of last year. Associated Press
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