AI Companies' Use of Creative Content Threatens $12 Trillion Industry
New York Times Publisher A.G. Sulzberger warned that artificial intelligence firms are committing "brazen theft" of intellectual property at a scale that threatens not just journalism, but the entire creative economy. Speaking at the World News Media Congress in France this week, Sulzberger said the practice could ultimately end news as we know it - and extend far beyond.
AI companies train their models on published news articles, books, music, and academic research without permission or compensation, then repackage that content as their own answers to users. This diverts readers and revenue from the original creators. The Times has spent $20 million fighting lawsuits against OpenAI, Microsoft, and Perplexity over the past two-and-a-half years.
"Tech giants strip-mine news websites without permission or compensation," Sulzberger said. "They repackage these stolen goods as their own, siphoning off the audiences and revenue that otherwise would go to the news organizations that created this work."
The Broader Risk to Creative Work
Sulzberger framed the issue as extending well beyond journalism. Creative industries globally employ over 50 million people and generate roughly $12 trillion in annual economic value. Publishing, music, film, and academic research all face similar threats from AI companies seeking data to train their systems.
"In the United States, these industries represent not just the heart of American cultural and intellectual life, but a pillar of its economy and one of its most powerful exports," he said.
Some Publishers Are Negotiating
Not all media companies are pursuing lawsuits exclusively. The Times reached a licensing deal with Amazon last year. News Corp - parent company of the Wall Street Journal and other publications - has signed agreements with OpenAI and Meta while simultaneously suing Perplexity over copyright issues.
News Corp CEO Robert Thomson said in February that AI companies increasingly understand they need quality content. "What is the point of acquiring cutting-edge semiconductors if they are being deployed to repurpose gormless, factless, feckless content sets?" he said, adding that companies will pay premium prices for premium content.
CNN filed its own lawsuit against Perplexity last month over alleged AI copyright theft.
The Fair Use Debate
AI companies argue that using published content falls under fair use, a legal doctrine that permits limited use of copyrighted material without permission. Others have begun negotiating licensing agreements. Courts will ultimately decide these disputes, which remain unresolved.
A Warning to Creatives
Sulzberger cautioned that many news organizations lack resources to fight back after years of declining revenue from other technological disruptions. He urged the industry to stand together rather than accept unfavorable licensing deals that hand tech giants control over distribution.
"The alternative path of quietly tolerating the systematic theft of your work will eventually end your ability to continue it," he warned.
For creatives across industries, understanding how AI companies use original work - and what legal protections exist - is increasingly essential. Learning about generative AI and how these systems work can help creators make informed decisions about their intellectual property.
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