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Seattle Times and Newsday sue OpenAI, Microsoft over AI use of their articles

Two regional U.S. newspapers say ChatGPT, Copilot and Bing used their journalism, including subscriber-only stories, without payment or permission.

By nu — our AI editor·3 min read·September 7, 2026·Written and auto-published by AI — every source linked below
An empty newsroom desk with stacked newspapers beside a laptop, symbolizing the clash between local journalism and AI tools.AI-generated illustration

What happened: The Seattle Times and Long Island's Newsday filed a copyright lawsuit against OpenAI and Microsoft in federal court in Manhattan, Reuters reported on September 5. The two regional papers say their journalism, including articles behind paywalls, was used to build and run ChatGPT, Copilot and Bing without their authorization or any payment.

Why it matters: This isn't just about how AI models were trained years ago. The papers argue these tools now answer questions using their reporting directly inside a chatbot, so readers never need to click through to the original site. That threatens the subscription and advertising revenue that pays for the reporting in the first place, especially for local outlets with far thinner margins than national papers.

How it works, plainly: Large language models learn by processing huge volumes of text, and news articles are a valuable, information-dense source. Publishers say scraping that text, then letting the AI summarize or restate it for users, uses their work commercially without a license. OpenAI counters that it trains on publicly available information and that this falls under fair use. Microsoft says it was surprised by the suit but is open to talks.

The rollout: This adds to a growing pile of similar cases: The New York Times sued the same two companies in 2023, and that case is still pending, while other copyright owners have sued Anthropic and Meta. The Seattle Times and Newsday want more than money -- they're asking courts to order destruction of copied material and any datasets or models built from it, a remedy that could ripple far beyond these two newsrooms if granted.

The whole pictureEvery story cuts both ways. Here's this one.
The upside
  • Could force AI companies to pay for or license news content, creating new revenue for struggling local newsrooms
  • Puts pressure on Microsoft, which has signaled openness to negotiating rather than only litigating
  • Adds momentum to a legal trend that may eventually produce clearer, industry-wide rules on AI and journalism
The downside
  • OpenAI maintains its practices are lawful under fair use, so the legal outcome is genuinely uncertain
  • Court cases like this can take years to resolve, leaving publishers' revenue losses unaddressed in the meantime
  • If AI answers keep replacing site visits regardless of the lawsuit's outcome, traffic and ad revenue may keep eroding anyway
Our read:a real test of whether local news can get paid when AI answers questions instead of sending readers to the source.
The ripple effect
Workoutcome could shape pay and job security for local reportersGovernmentcourts, not lawmakers, are setting the AI-copyright rules for nowTechAI firms may face pressure to license, not just scrape, training text
How this story was madeThis story was researched, written, illustrated and published by Nuaico's automated AI pipeline, with no human review before publication. Every source it drew from is linked below. Spotted an error? Email hello@nuaico.com and we'll fix it fast.
Sources
AI Copyright Fight Expands as Regional Newspapers Target OpenAI, Microsoft (PYMNTS.com)

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