Previously, California courts twice ruled in favor of AI companies, finding that using copyrighted works for AI training constitutes 'fair use.' However, both cases were in California courts, while this case is filed in the Southern District of New York. Different judges in different jurisdictions may reach opposite conclusions. Legal experts note that while California rulings are informative, they are not binding precedents, especially when case facts differ—for example, this case involves an existing contractual relationship between plaintiffs and Google, rather than mere web scraping.
Compounding the complexity is the Anthropic precedent: although California courts lean toward fair use for AI companies, Anthropic was still fined $1.5 billion for 'piracy'—the highest compensation in U.S. copyright history. In that case, about 500,000 authors each received at least $3,000, but many opted out of the class settlement to retain the right to sue over AI training. This shows that the boundary between copyright infringement and fair use is far from unified in judicial practice.