Disney and Universal have taken legal action against Midjourney, an AI image generation startup, claiming it is a "bottomless pit of plagiarism" that creates unauthorized copies of their intellectual property. This marks a significant step as it’s the first instance where major Hollywood studios have sued an AI firm for copyright infringement in the U.S.
The lawsuit includes multiple images as evidence, showcasing how Midjourney can generate artwork resembling characters from Disney and Universal properties, such as Yoda from Star Wars and the character from The Boss Baby franchise. Legal experts like IP lawyer Chad Hummel see the extensive examples provided in the complaint as strong proof that the AI’s outputs lack transformative quality, which is typically crucial for a fair use defense.
Matthew Sag, a professor specializing in law and AI, argues that Disney’s suit uniquely addresses the model’s output rather than just how the AI was trained—suggesting greater difficulty for Midjourney in establishing a fair use defense.
Additionally, the complaint asserts that Disney and Universal requested Midjourney to implement safeguards against producing infringing material, but their demands were allegedly ignored. The lawsuit suggests that during training, Midjourney not only utilized Disney and Universal’s works but also created further copies of these materials.
While Disney expresses optimism about the potential of AI as a tool for creativity, they firmly state that infringement should not be tolerated. The complaint highlights the existential risk they believe AI technologies like Midjourney pose to the film industry, which contributes significantly to the economy.
Midjourney, like many other AI companies, has been generating models by scraping data from the internet without securing specific licenses. CEO David Holz had previously indicated in an interview that the process involves compiling widespread datasets available online, creating a challenge for accurate copyright attribution.
In response to the rising number of copyright disputes, a new market for licensing creative content is developing, with companies and organizations acting as intermediaries between creatives and AI startups. This evolving landscape indicates a shift towards more formal agreements to avoid legal conflicts.
As various lawsuits unfold, some judges have emphasized the necessity for plaintiffs to demonstrate financial harm caused by AI companies. Disney and Universal describe the situation as a broader threat to the industry and its economy, illustrating the stakes involved in this landmark legal battle over AI-generated content.
As Hollywood adapts to advancing AI technology, the outcome of this lawsuit could significantly influence the future of creative industries and their relationship with artificial intelligence.
