Getty Images is spending millions on law suit against Stability AI

Getty Images is spending millions of dollars in legal fees to fight what its CEO calls “unfair competition” by AI companies that use copyrighted material without permission. Craig Peters told CNBC that AI firms are stealing protected content to train their models for commercial gain.

The photo licensing company is suing Stability AI, the British startup behind the Stable Diffusion image generator, in both U.S. and UK courts. Getty alleges that Stability AI copied 12 million images without authorization or compensation to benefit its commercial interests.

Peters argues that AI companies’ claim paying for creative works would “kill innovation” is what he describes as “a world of rhetoric.” He emphasized that Getty supports fair competition but considers using copyrighted material without payment as theft.

Stability AI contests the lawsuit, arguing its use falls under “fair use” doctrine for transformative purposes. The company acknowledges using some Getty images for training but denies liability for the claims.

Legal expert Sukanya Wadhwa from Brandsmiths notes this case differs from typical copyright disputes. Courts must determine where AI training occurred and whether AI-generated outputs actually reproduce original images.

Peters admits the legal battle is “extraordinarily expensive” and acknowledges uncertainty about where Stability AI’s training took place. Despite the challenges, he believes Getty’s case is strong based on global evidence.

The lawsuit reflects broader concerns about AI companies using vast amounts of copyrighted material from the internet. Similar cases include The New York Times suing OpenAI and record labels targeting AI music services.

An initial trial to determine liability is scheduled for June 9.

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