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“OpenAI’s competitor Anthropic recently finalized a $1.5 billion copyright settlement that will pay authors $3,000 for each pirated work used to train its AI models. While the deal stipulates a 50‑50 split with publishers for in‑print titles and full payment to authors for out‑of‑print or self‑published works, many writers report that publishers and even literary agents are claiming more than their entitled share. The confusion has sparked a wave of social‑media complaints, with authors alleging that rights have reverted long ago yet publishers still seek payouts, and agencies—who are not rightsholders—are also making claims. In the U.S., the fallout could ripple through the publishing supply chain, potentially tightening royalty negotiations, prompting stricter record‑keeping protocols, and influencing how AI companies negotiate future licensing agreements. Expert Analysis: This settlement underscores the fragile balance between AI innovation and traditional intellectual‑property rights. If publishers and agencies continue to over‑claim, it may erode trust in AI‑driven revenue models, prompting regulators to scrutinize royalty distribution mechanisms and possibly leading to new industry standards for AI‑training data usage.”
Authors say publishers seem to be claiming more than their fair share of settlement payments.
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Originally reported by TechCrunch
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