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Chronicles

The story behind the story

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Q&A with the lawyers “challenging the legality of GitHub Copilot” through a proposed class action suit, which could have a huge impact on generative AI models

Microsoft, its subsidiary GitHub, and its business partner OpenAI have been targeted in a proposed class action lawsuit alleging …

The Verge James Vincent

Context & Ripple Effects

This Q&A landed just as Microsoft was mapping Copilot's expansion beyond code into security and game design work (Bloomberg's look at the promise and peril of generative AI), which is exactly why the lawyers frame the suit as bigger than one product: the alleged copying mechanism would scale with every new job category. Two months later, Microsoft, GitHub, and OpenAI moved to dismiss in San Francisco federal court on fair-use grounds (the January dismissal motion).

The same plaintiffs' firm then carried the template into visual art, filing the Stability AI, Midjourney, and DeviantArt suit (the artists' copyright case) — so this interview documents the opening move of what became a multi-front legal campaign against generative AI training data.

First-order effects

  • Microsoft, GitHub, and OpenAI face a proposed class action whose outcome directly conditions Copilot's commercial future — later reported at $500M+ in 2024 revenue — since an adverse fair-use ruling could force retraining or licensing of its code corpus.

Second-order effects

  • A loss would push every vendor shipping code-generating assistants toward licensed or opt-in training data, creating a compliance cost advantage for incumbents who can absorb licensing fees over smaller AI coding startups already squeezed by Google, Microsoft, and OpenAI.

Third-order effects

  • If the fair-use question gets settled against model builders, training-data provenance becomes a standing legal requirement across modalities — text, code, image — turning dataset documentation and licensing into core infrastructure for the generative AI industry rather than an afterthought.

The trend: Copyright litigation, beginning with Copilot and spreading through the art-model suits, is emerging as the primary external check on how generative AI companies acquire and commercialize training data.

Discussion

  • @jjvincent James Vincent on x
    Last Friday, Microsoft, GitHub and OpenAI were named in a proposed class action lawsuit for scraping public data to train AI. The case is early stages, but has the potential to massively reshape the generative AI scene. I spoke to the lawyers behind it: https://www.theverge.com/.…
  • @purusagip @purusagip on x
    Oh boi, hoping they win and set a precedent use against Art AIs World is a better place without people exploiting others I love the phrase used here “Socialize the costs and privatize the profits” https://twitter.com/...