BBC Threatens Legal Action Against AI Startup Perplexity Over Content Scraping

Reviewed byNidhi Govil

8 Sources

The BBC is threatening to sue AI search engine Perplexity for unauthorized use of its content, alleging verbatim reproduction and potential damage to its reputation. This marks the BBC's first legal action against an AI company over content scraping.

BBC's Legal Threat to Perplexity AI

The British Broadcasting Corporation (BBC) has taken a significant step in the ongoing battle between media organizations and artificial intelligence companies. In a move that marks its first legal action against an AI firm, the BBC is threatening to sue Perplexity AI, a San Francisco-based startup, over alleged unauthorized use of its content 1.

The Allegations

Source: The Telegraph

Source: The Telegraph

In a letter to Perplexity CEO Aravind Srinivas, the BBC claims to have evidence that the company's "default AI model" was trained using BBC content. The broadcaster alleges that Perplexity has been reproducing its material "verbatim," potentially damaging the BBC's reputation and undermining trust among its audience 2.

The BBC's demands include:

  1. Ceasing the scraping of all BBC content
  2. Deleting any copies of BBC material held for AI system development
  3. Providing a proposal for financial compensation for alleged intellectual property infringement

Perplexity's Response

Perplexity has strongly denied the BBC's claims, describing them as "manipulative and opportunistic." The company argues that the BBC fundamentally misunderstands technology, the internet, and intellectual property law 2.

Wider Industry Context

This legal threat is part of a broader trend of media organizations pushing back against AI companies' use of their content:

  • News Corp subsidiaries, including The Wall Street Journal and New York Post, are already engaged in legal battles with Perplexity 4.
  • Other outlets like The New York Times and CondΓ© Nast have sent cease-and-desist letters to AI companies 2.
  • Some publishers, including Time, Fortune, and Der Spiegel, have introduced revenue-sharing agreements with Perplexity 1.

BBC's Concerns and Actions

Source: Silicon Republic

Source: Silicon Republic

The BBC has raised several specific concerns:

  1. Accuracy: The broadcaster claims that 17% of Perplexity search responses had significant issues, including factual inaccuracies and missing context 1.
  2. Competition: The BBC argues that Perplexity's tool directly competes with its own services 2.
  3. Copyright protection: In October 2023, the BBC began registering copyright for its news website with the US Copyright Office 2.

Implications for the AI Industry

Source: NDTV Gadgets 360

Source: NDTV Gadgets 360

This case highlights the growing tensions between media organizations and AI companies over content rights and usage. It raises important questions about:

  1. The legality of web scraping for AI training
  2. The potential need for licensing agreements between content creators and AI companies
  3. The impact of AI on traditional media business models

As AI technology continues to advance, these legal and ethical issues are likely to become increasingly prominent in shaping the future of both the media and AI industries 5.

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